CLEARWATER, Fla.-The desire to expand branch networks in the shadow of a recession may only accelerate the trend toward modular construction of CU branches.
While credit unions may have preferred "stick-" or "site-built" branches over the years, the move to modular construction is gaining ground, according to one builder that says modular construction saves time, money, and is more environmentally friendly.
Joe Ijjas, VP of accelerated development for NewGround, has been with the national CU construction firm for the last 30 years. He said that prefabricated buildings have increased significantly, up to about 13% of credit union construction, compared with 2% 20 years ago. "We started to see an increase around 1998," Ijjas said. "Now virtually every credit union branch we build today that's under 6,000 square feet employs modular construction."
More CUs are choosing modular buildings due to the speed of construction, according to Ijjas, who said a modular project is normally completed within six months. That includes design, engineering, construction documents, building the modular structures and bringing them to the job site and installing them, finishing the building, and furnishing and equipping it.
The shorter time reduces labor and project management costs, which outweigh a "slightly higher" expense for the finished prefabricated products over site-built materials, resulting in about a 10% savings on the project, Ijjas said.
Modular construction is more environmentally friendly, as well, since it produces less waste, according to Ijjas. With most of the building assembled at a factory, workers carefully measure materials required and only use what's needed, Ijjas explained. "Since all of the materials they need are stored at the factory, workers only pull the exact number of two-by-fours they need, the exact number of drywall sheets...We don't have to ship extra trusses or insulation, for example, to the job site that end up in the waste can. We estimate that stick-built facilities generate about 10% more waste."
Prefabricated buildings also don't limit architects' ability to be creative with design or incorporate green features, Ijjas said (see related story). "That's a misconception. We can be very flexible in building green features into a modularly constructed branch."
Since factories that assemble modular buildings buy and store materials in large quantities, they also receive better pricing, which can allow more energy efficient materials and features to be incorporated at lower costs, Ijjas said.
Another misconception is that modular construction applies only to the building's shell, such as the exterior walls and floors, pointed out Ijjas, who said that when a modular building heads to the job site, it's 80% complete. "For example, the heating, ventilating, and air conditioning systems are all part of the modular building. We include all of the electrical systems - from the panels to the light switches to the phone outlets and data connections-and the plumbing systems and more."
Ijjas said that NewGround, a full-service design and implementation company, will not build a circular building in modular format, but that's about the only drawback, he explained. "You can even relocate the modular building at a later time. We remove the trusses, roofing materials, and brick exterior, and then we can move the branch to a new job site."
