GUEST COLUMN
Offsite construction
– Here to stay
By Paul E. Davis
Special to North Carolina Construction News
“Modular construction” no longer evokes only mem-
ories of those boxy “temporary” classrooms used by
over capacity public school systems. Modular is but
one of three terms commonly used to describe the
construction of building components not built on site.
“Offsite,” “prefabricated,” and “modular” are often
used interchangeably.
Modular construction is increasingly a part of new
construction. The construction industry’s use of offsite
construction is not new; it has been part of the indus-
try for many years. For example, window and door as-
semblies are prefabricated building components that
have long been a part of the industry.
What has changed is a broader use and greater ac-
ceptance of offsite construction as a construction
process. Increasingly, we are seeing a greater use of
larger, more complex components built offsite such as
MEP (mechanical, electrical and plumbing) compo-
nents that are delivered to the project site already
wired and fitted with ductwork and piping. Offsite con-
struction runs the gamut from a window assembly to
the construction of a complete room such as a
dormitory room or a hotel bathroom.
Last fall, developers in Winston-Salem an-
nounced they would be erecting a Hyatt Place
hotel using a modular stacked method. Devel-
opers of this six-story, 56,000 sq. ft. hotel stated
that use of modular construction would reduce
construction time from 15 to seven months.
Similarly, Marriott hotels recently announced
that it plans to use some form of modular con-
struction on 13 percent of its new hotels. Its
use of modular construction will include prefab-
ricated bathrooms and complete modular gue-
strooms. Industry experts point to the labor shortage
the industry has faced in recent years as a sig-
nificant factor driving the greater use of offsite
construction. Industry econo-
mists report that contractors can
expect to continue to see signifi-
cant labor shortages for years to
come. The use of prefabrication
4 — Winter 2018 — The North Carolina Construction News
and modular construction is said to have a direct,
measurable effect of shortening project schedules and,
therefore man hours and costs.
Proponents also note that there is a different type of
“green” attribute to offsite construction. Building a
component in a factory should reduce waste as the
workers perform repetitive tasks in a controlled envi-
ronment. The use of climate-controlled facilities to
build components may also reduce the potential for
high levels of moisture being trapped in new construc-
tion compared with building the same components on
site. Offsite construction is not suitable for all types of
vertical construction. It is best suited for projects with
repetitive and redundant features, such as student
housing, education buildings, hospital rooms, and ho-
tels. Mixed-use and office space is not ideal for offsite
or prefabrication as building occupants will often re-
quire space reconfigurations, which can be problem-
atic with load bearing walls.
This industry is known for its resistance to change.
Construction techniques and practices are slow to
evolve. Certainly, once something is tried and proven
to work, others will follow, copy, and improve. But who
wants to go first?
There is a mistaken belief that taking advan-
tage of modular construction or prefabrication as
a construction tool is an all or nothing proposi-
tion. On the contrary, most projects, except per-
haps for those modular temporary classrooms,
can benefit in many ways from an increased use
of either prefabrication or modular construction
without a sacrifice in the elegance of design or
the quality of construction.
Paul E. Davis is a partner in the Raleigh office
of Conner Gwyn Schenck PLLC. He regularly rep-
resents public and private owners, developers,
contractors, and construction managers. Paul,
along with the other lawyers at Conner Gwyn
Schenck PLLC, are authors of N ORTH C AROLINA C ON -
STRUCTION L AW , a treatise published
by Thomson Reuters. Paul’s full bi-
ography can be viewed at
www.cgspllc.com.