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W I N T E R 2018

CHECK OUT MITRE 10 TRADE HUB’S NEW VIDEO GUIDES! SEE PAGE 13

Y L R E T R A U Q

WHEN RENOS GO WRONG WHY CONTRACT WORKS INSURANCE IS CRITICAL GO THE WARRIORS ANNOUNCING MITRE 10’S NEW SPONSORSHIP STOP THIEF PREVENTING TOOL THEFT

100 YEARS YOUNG

AUCKLAND VILLA RENO COMBINES OLD AND NEW

mitre10.co.nz/trade

This publication contributes to LBP points under the Skills Maintenance Scheme


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CONTENTS

IN THIS ISSUE

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9 BATTLE OF THE BUILDERS A HUGE SUCCESS

Mitre 10 Papanui lends a helping hand to a school gala’s “build-off”.

9 TIMARU SUPER SHOT WITH TOM WALSH

Breaking shot-put records in Canterbury.

10 A PROUD PARTNERSHIP

Mitre 10 is thrilled to be sponsoring the Vodafone Warriors.

13 BECOME A TRADE HUB SUPER USER

Navigate through Trade Hub with handy “how to” videos.

15 A CENTURY IN THE MAKING

A 100-year-old Bombay villa gets a makeover.

22 ANALYSING A&A

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18 MAKING THE RIGHT CHOICES

24 WHEN RENOS GO WRONG: PART ONE

Think ahead if you’re planning a new build or reno.

What is contract works insurance, and when do you need it?

21 AN INVESTMENT WORTH PROTECTING

Where alterations and additions fit into the industry.

25 NOT JUST PLAYING HOUSE

Why warranties are important for any building project.

Apprentices build a dream house for their toughest customers yet.

26 IN THE FRAME

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We check out the innovative GIBFix Framing System.

29 BEHIND THE VENEER

Getting the best result from brick veneer.

30 DEFEATING THE DUST

Reducing health risks from onsite dust exposure.

32 MANAGING A CLIENT THROUGH A RENOVATION

The Trades Coach explains why communication is king.

33 BREAKING THE CYCLE

How NZ Police are helping tradies prevent tool theft.

34 NAILING IT

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Builders review the DeWalt Cordless Finishing Nailer. M I T R E 10

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QUARTER UPFRONT

I’ve just come away from the NZ Certified Builders Conference in Rotorua, and was rapt to see an increasing number of ITAB apprentices taking up the challenge and competing to be the best in the industry. Nineteen regions were represented this year, and credit must go to the bosses, along with the teams at ITAB and Certified Builders for their continued focus on developing quality tradespeople. We hope to include some interviews with the finalists in future issues. This issue of Trade Quarterly has a focus on renovations. We take a look at Hutton Builders’ latest project which, with the help of Mitre 10 MEGA Pukekohe, is seamlessly blending the old with the new in the renovation and upgrade of a 100-year-old villa (page 15). The Trades Coach provides some advice on how to manage a client through a renovation (page 31), and Registered Master Builders tells us why it is important to have a building guarantee when renovating or building new (page 21). We also have some exciting news this issue. On page 10, you can read about Mitre 10 joining the Vodafone Warriors family of sponsors. And as always, we shine the spotlight on our local stores to see what they’ve been up to in their communities (page 8). Enjoy your read, and we look forward to seeing you in store soon.

CHECK OUT MITRE 10 TRADE HUB’S NEW VIDEO GUIDES! SEE PAGE 13

W I N T E R 2018

AND JUST LIKE that, we are halfway through the year already! Now in the thick of winter, it seems like only yesterday we were spending our days at the beach and throwing sausages on the BBQ. The first half of 2018 has been very busy for our teams and customers, as construction remains buoyant around most of the country.

Y QUARTERL

WHEN RENOS GO WRONG WHY CONTRACT WORKS INSURANCE IS CRITICAL GO THE WARRIORS ANNOUNCING MITRE 10’S NEW SPONSORSHIP STOP THIEF PREVENTING TOOL THEFT

100 YEARS YOUNG

AUCKLAND VILLA RENO COMBINES OLD AND NEW

This publication contributes to LBP points under the Skills Maintenance Scheme

mitre10.co.nz/trade

Hutton Builders are crafting a new chapter for a historic Bombay home. Read more on page 15.

Mitre 10 Trade Quarterly is published four times a year in association with Mitre 10. Managing Editor Adele Thurlow Art Director Marc Backwell Sub-Editor Katherine Granich Contributors BBFNZ, BCITO, Builtin, GIB, Infometrics, NZCB, NZ Police, RMBA, Site Safe Print and distribution PMP Limited

Derek Heard General Manager Trade

Editorial enquiries Chocolate Fish Media adele@chocolatefishmedia.co.nz Advertising enquiries marketingsupport@mitre10.co.nz Private Bag 102-925 North Shore City, Auckland 0745 mitre10.co.nz/trade

In between issues of Trade Quarterly, catch up on the latest Mitre 10 Trade and industry info by visiting the Mitre 10 Trade Blog – go to mitre10.co.nz/trade and click on the “News” tab to access the blog.

THIS PUBLICATION IS RECOGNISED BY THE BUILDING AND HOUSING GROUP AS CONTRIBUTING TOWARDS THE SKILLS MAINTENANCE REQUIREMENTS FOR THE LICENSED BUILDING PRACTITIONER SCHEME. If you are a licensed building practitioner, cut out and safely retain this panel with your skills maintenance literature for future reference and audit confirmation. Ref: Trade Quarterly Winter 2018

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Mitre 10 Trade Quarterly is subject to copyright in its entirety. The contents may not be reproduced in any form, either in whole or in part, without written permission of the publisher. All rights reserved in material accepted for publication unless initially specified otherwise. Opinions expressed in Mitre 10 Trade Quarterly are not necessarily those of Mitre 10. No responsibility is accepted for the suggestions of the contributors or the conclusions that may be drawn from them. Although Mitre 10 has made reasonable efforts to ensure accuracy, the reader remains responsible for the correct use and selection of any tools, materials, and systems followed, as well as compliance with all applicable legislation. Mitre 10 Trade Quarterly does not constitute legal advice and readers should consider seeking their own professional advice.

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FROM THE REGIONS

IN THE COMMUNITY Check out what’s been happening across the country.

Certified Builders Auckland Golf Day Mitre 10 Trade, along with Stanley Black & Decker, supported the Certified Builders Auckland Golf Day on 22 March. The team supplied a range of giveaways to builders who could bounce a golf ball on the end of their pitching wedge – several builders bounced the ball more than 300 times!

Waikato Frame and Truss plant opens

Mitre 10 Trade hosts fans at Warriors vs Roosters game

Waikato Frame and Truss Limited (WFTL), a joint venture between the owners of Mitre 10 MEGA Cambridge, Mitre 10 MEGA Te Rapa, and Mitre 10 MEGA Ruakura, recently opened its new state-of-the-art plant in Hautapu. Set on an 11,000m2 site, the factory employs 22 workers and supplies house framing and trusses to the Waikato and South Auckland exclusively for Mitre 10.

League fans and customers from Mitre 10 MEGA Glenfield and Mitre 10 Onehunga enjoyed a night out in the recently renovated Mitre 10 Trade Box at Mt Smart stadium on 12 May.

Mitre 10 MEGA Papanui hosts battle of the builders Clarkville School’s “build off” was a huge success, with four construction companies each building a playhouse for charity. Mitre 10 MEGA Papanui teamed up with the builders and donated all of the building materials. See page 9 for more.

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Mitre 10 touch rugby challenge with the Vodafone Warriors On 8 June, Mitre 10 will host a touch challenge in Christchurch between customers’ children and the Vodafone Warriors, where the team will teach the kids a range of skills. Mitre 10 recently joined the Warriors family as its first Official Home Improvement and Trade Partner. See page 10 for more.

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IN THE COMMUNITY

BATTLE OF THE BUILDERS A HUGE SUCCESS CLARKVILLE SCHOOL IN rural North Canterbury came up with the idea to hold a “build off” as part of their school gala night, with four construction companies each building a playhouse (and completing them on the night). Mitre 10 MEGA Papanui jumped on board as sponsor, sourcing all of the building materials as well as the nuts and bolts for the project, all at zero cost to the builders. The builders, all customers of Mitre 10

MEGA Papanui, donated their time and skills to build the play houses, which were then auctioned off at the gala night for a $2,000 reserve, which went to the Clarkville School PTA. Two of the playhouses fetched the reserve of $2,000, and another two have now been placed on Trade Me. The winning playhouse had a petrol station theme and was built by Sure Contracting, with second place going to Morel Construction.

TIMARU SUPER SHOT WITH TOM WALSH WOW, WHAT AN event! 14 March 2018 will be remembered by 3,000 people from around the South Canterbury region not for the date, but as the

day local boy Tom Walsh brought some of his fiercest rivals and friends to his home turf and wiped the floor with them. This unique community

event, held at the iconic Caroline Bay Soundshell, featured an internationalstandard throwing ring in case records were broken – and they were. Tom

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himself set a new New Zealand resident record with a throw of 22.06m, more than a metre further than his fellow competitors. Sponsored by Mitre 10 MEGA Timaru and Certified Builders NZ, the event included a competition between Mitre 10 MEGA tradies and some of Timaru’s well-known local personalities. Unfortunately, after three rounds, builder Tim Wright lost the final to Councillor Peter Burt. The athletes and their support crew said it was one of the best events they had participated in, and can’t wait to come back for Timaru Super Shot 2 with family and other shot put friends. Mitre 10 MEGA Timaru would like to thank Kaituna Sawmill and United Steel for their generous support of the event.

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A PROUD PARTNERSHIP

Mitre 10, who initially offered to provide $10,000 worth of building materials. But when Warriors players David Fusitu’a, Albert Vete, Agnatius Paasi, Joseph Vuna, and Johnny Tuivasa-Sheck went out to Mitre 10 MEGA in Glenfield, they discovered the company had donated additional materials worth Mitre 10 is thrilled to join the Vodafone Warriors’ family $7,000, bringing the total value of the of sponsors as its first official Home Improvement and donation to $17,000. Trade Partner. “To have Mitre 10 donate so much money worth of supplies to the cause is awesome,” says David. “One of the schools over there was quite battered – the roofs were ripped off and it was THE VODAFONE WARRIORS’ 2018 with its extensive network of stores pretty flooded.” NRL season got off to a flying start and commitment to helping The Warriors players also raced and, excitingly, Mitre 10 joined the communities,” he says. through the Mitre 10 MEGA Glenfield Warriors family as its first Official Home “Each of our partners play an store and grabbed whatever supplies Improvement and Trade Partner. important role in helping us to develop, they wanted, in addition to those Jules Lloyd-Jones, Mitre 10 General and this relationship will see us do just already loaded by Mitre 10’s forklift. Manager Marketing, says it’s exciting that, by working together to deliver Cyclone Gita was the most intense to be kicking off this partnership. some great tropical cyclone “If you’re a fan of our mighty Warriors, experiences for our to impact Tonga there’s never been a better time to get fans and Mitre 10 since reliable “THE TEAM ARE SELLING behind the team and show your support. customers.” records began, OUT GAMES, AND MITRE 10 They have started off the season with Mitre 10 and the and Mitre 10 IS EXCITED TO BE BACKING a bang and, as the only Kiwi team in Vodafone Warriors building consultant THEM ALL THE WAY.” the NRL, we need to show our Aussie have already Stan Scott was rivals that this is our year! proved they work proud that Mitre “The team are selling out games, well together. In 10 was able to lend and Mitre 10 is excited to be backing February, a helping hand to them all the way.” they combined forces to send more the cause. “We donated posts, concrete, Vodafone Warriors commercial than $17,000 worth of building materials nails, hammers, machetes, handsaws, manager Glenn Critchley says the Club is and more. in a shipping container to Tonga to help delighted to welcome Mitre 10 on board. rebuild schools devastated by severe “We like to help out our Kiwi “It’s fantastic to begin a partnership communities in times of need, and tropical cyclone Gita. with Mitre 10, a brand which is so the same goes for our neighbours When Warriors HQ was made aware recognisable to New Zealanders in the Pacific Islands.” of the situation in Tonga, they contacted M I T R E 10

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TEAM EFFORT

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THE NEW MITRE 10 TRADE HUB LET YOUR FINGERS DO THE HEAVY LIFTING

Run your business on the go with the new and improved Mitre 10 Trade Hub. • Faster estimates • Better product searches • Instant access to pricing • Easy to use on all devices • Custom-built for NZ tradies • Free to all Mitre 10 Trade account holders Whether you’re in the office or on location, Mitre 10 has got you covered. To learn more, contact a Trade Account Manager at your local Mitre 10.

Visit mitre10.co.nz/trade


VIDEO SAVVY

BECOME A TRADE HUB SUPER USER

Learn how to navigate your way through, and fully utilise, the Mitre 10 Trade Hub with these handy “how to” video guides. GET THE MOST out of Trade

Hub by fully utilising all its features. We’ve produced eight short videos which cover the common features customers use on a daily basis. Most of the videos are less than a minute each, so it’s super easy to follow. Here are the topics the videos cover:

HOW TO ADD AN ESTIMATE TO YOUR CART

HOW TO CREATE AN ESTIMATE

HOW TO CREATE A NEW ORDER

HOW TO CUSTOMISE YOUR SETTINGS

HOW TO ADD PRODUCTS TO YOUR FAVOURITES

HOW TO MANAGE STAFF DETAILS

HOW TO CONTACT TRADE HUB SUPPORT

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HOW TO SEARCH FOR PRODUCTS

Access all videos on the Mitre 10 Trade website or in the “Help” menu of Trade Hub. Mitre 10 Trade Hub is free to use for all trade account holders. For more tips, help, or advice, contact your Mitre 10 Trade Account manager or click on the help icon at the top righthand corner of the page in the Trade Hub portal.

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The New Era of Rainwater Harvesting

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CUSTOMER FEATURE

A CENTURY IN THE MAKING

A 100-year-old Bombay villa gets a makeover.

Renovating this traditional villa has been a unique project for the team at Hutton Builders, who say that seamlessly blending the old with the new, and replicating the original intricate detailing with modern-day materials, provide interesting challenges.

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OUT IN BOMBAY, south of Auckland, sits a 100-year-old villa that is undergoing a complete transformation. Hutton Builders, with support from the Mitre 10 MEGA Pukekohe team, is now halfway through a two-year renovation project and upgrade to the property, which is situated on a beautiful, vast site that’s played host to many weddings and special events. Hutton Builders’ Lance Hutton says the project, which initially started out as just a bathroom do-up, has continued to grow into what is now a full-scale renovation. “Our clients had always wanted to renovate and actually had some drawings done, but it wasn’t quite what they were after,” he says. “As it happened, our architect had completed a concept drawing for previous owners of the property. We showed that concept to our current M I T R E 10

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clients, and they loved it – so it’s a project that has just kept growing and growing!” Lance says that a renovation to a 100-year-old villa comes with many challenges – most importantly, seamlessly blending the old with the new. “One of the biggest challenges with this project is the need to replicate the original intricate detailing with the products that are available today. Having a strong eye for detail is so important to achieving a finish that is modern, yet true to the villa’s heritage. Our aim for this project is to have the property look as though it has always been there. “A key detail of this project has been levelling the floor heights. These were all different when we started, so we have done a lot of work to ensure the endproduct is one level. We have also kept original key features, such as the staircase, a vanity, and a stained-glass window.” Hutton Builders takes on all kinds of projects, but Lance says this renovation has been one of their most challenging. M I T R E 10

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Lance Hutton (left) enjoys working with Mitre 10 Trade Manager Marcus Lofroth (right), and says that he and the entire Mitre 10 MEGA Pukekohe team are always on board to source whatever materials Hutton Builders need for their latest project.

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CUSTOMER FEATURE

“With this renovation, we have had to have foresight and keep the big picture in mind – there has to be a cohesiveness and fluidity between the 100-year-old villa and the new upgrades. As with any renovation, we haven’t been able to start from scratch with a fresh palette. “While we strive to mimic the style of the villa, it’s never going to be exactly the same – but that’s not a bad thing. The industry has evolved for a reason, and that’s normally because now there is a better way to do something, or a better product to use. “Our Mitre 10 Trade Manager Marcus Lofroth and the rest of our local Mitre 10 MEGA Pukekohe team have done a fantastic job of supporting us and sourcing modern products that complement the character of this period property. “Marcus is always there for us, whether it’s on the phone sourcing products or keeping us informed on timings for product deliveries. Even the store environment is great – our

guys really enjoy heading down and everyone is held accountable to collect materials.” for the standard of work. Marcus says the Mitre 10 MEGA “‘Quality No Compromise’ is our team has enjoyed working with company’s motto. Lance is so passionate Hutton Builders on this challenging about getting things done properly but interesting project. and he has an unbelievable eye for “We have been working with Hutton detail, which is definitely being put to Builders for about two years. Lance has good use with this project – he is the great organisational skills, which makes first person to pick up any imperfections. our job easy, and this renovation in Many people, including our subtrades, particular is pretty would say he is amazing to be the fussiest builder “LANCE HAS GREAT a part of,” he says. around!” Jana says. ORGANISATIONAL SKILLS, “We have Without a doubt, WHICH MAKES OUR JOB known most of EASY, AND THIS RENOVATION this is a trait Lance IN PARTICULAR IS PRETTY our customers inherited from AMAZING TO BE A PART OF.” for years, so our his grandfather, relationships George Hutton, are relaxed and friendly. We focus on who was a well-known builder in the our team environment and delivering Franklin area, and his father, Derek, quality service, which means being who now works with the Hutton reliable and communicating well with Builders team. all our customers.” Hutton Builders also helps to mentor Lance’s wife, Jana, says Lance prides and grow young talent, with three himself on ensuring no corners are apprentices in its team of nine. cut, the correct products are used, “We have always had apprentices

– it’s a no-brainer for us. We need to be bringing people up through the trades to fill in the spaces. We have always enjoyed bringing them on and teaching them. They are great addition to our team. “Building is definitely in the blood. I left school when I was 15, completed an apprenticeship, and now I have been running my own business for 10 years. I can’t think of anything else I would rather do,” says Lance. 17

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MAKING THE RIGHT CHOICES Grant Florence of NZCB shares what you need to know if you’re planning a build or renovation this year. THE PAST FEW years have seen huge activity in the building and construction sector, driven by demand for new residential homes to keep pace with demographic changes and, of course, renovation has remained as popular as ever for Kiwi property owners. On thousands of sites up and down the country, NZCB member builders were at the proverbial coalface, and want to share some insights into the trends, opportunities, and challenges that lie ahead for anyone who is thinking about building or renovating a home. First and foremost, with sustained high demand, builders expect to be busy and the shortage of skilled labour will continue to be an issue across the industry. Some relief is on the horizon in the longer-term, with the Government’s new “fees-free” tertiary education M I T R E 10

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scheme which, for trade apprentices, extends for two years and is expected to encourage more school leavers into the industry. In the meantime, good planning by both builders and their clients is the key to managing the challenges that the current shortage of skilled labour brings. CONSIDER MATERIALS AND DESIGN One trend that our member builders are seeing is customers sourcing their own building materials from overseas suppliers, often before even engaging a builder. It may seem like a cheaper option at the outset, but can quickly become a nightmare. Builders need consent on a large proportion of building materials they use, and obtaining sign-off on overseas materials is considerably more complex, and 18

can delay the building process significantly. Furthermore, the materials selected aren’t always well-suited for the New Zealand climate and may not be under warranty from the overseas supplier, posing a risk of big issues for the homeowner down the track. Another is the increasing popularity of integrating eco-friendly, energy-efficient design features, which is a smart choice but also requires some planning. For example, while triple-glazing is popular in Europe and parts of North America, it is not always the best fit for New Zealand’s temperate climate and largewindowed building style. Solar panels for electricity and hot water are often included in clients’ plans, but the cost of batteries, especially given their need for regular replacement, often comes as a shock. Fortunately, a great deal


INDUSTRY OUTLOOK

of energy efficiency can be achieved ASK QUESTIONS through simple solutions like sunWhichever builder anyone chooses, conscious section choice and building and whatever plans they have for their orientation, and fitting quality insulation. build or renovation, it’s critical to ask While quake-related rebuilding the right questions at the outset and and strengthening work has competed get the relevant paperwork sorted. for resources over the past few years, It’s important to ask a builder about our members are surprised that it isn’t their trade qualifications, not just to a greater focus for clients outside of the know that they are a Licensed Building areas that have been directly affected. Practitioner (LBP). What many people This is something that it’s worth talking don’t realise is that holding a formal trade to your builder about early on, alongside qualification and participating in ongoing making bigger decisions about the formal skills development (to keep up-totype of house you might want to build. date with the latest building techniques, Increasingly, the low-maintenance materials, and regulatory requirements) benefits of smaller homes are appealing are not prerequisites for being a licensed to customers, and materials-wise, timber builder. NZCB is the only building trade and weatherboard are currently more association in the country which requires popular than brick, in the context of all of its members to hold a formal trade seismic risks. qualification in One thing order to be eligible WRITTEN CONTRACTS ARE to consider for BEST PRACTICE FOR WORK OF for membership, those building so you know you ANY VALUE, BECAUSE THEY a home is that ENSURE BOTH PARTIES HAVE have this covered if while it might you are engaging CLEAR EXPECTATIONS seem tempting a builder that is a AND ACCOUNTABILITIES. to opt for a large member of NZCB. group home building company that What surprises many of our members offers spec houses, there is always the is the number of clients who are still not option of choosing an independent proactive about ensuring they have a builder to build you a bespoke house. written contract in place, despite the NZCB member builders, who tend to fact that recent changes to the relevant be the smaller building firms, are often legislation to enhance consumer looking to spread their work between protection mean that written contracts new builds and renovations to give are mandatory for work valued at over them better certainty and diversification. $30,000. Written contracts are best

practice for work of any value, because they ensure both parties have clear expectations and accountabilities. GET A GUARANTEE Kiwis are generally still pretty passive when it comes to ensuring there’s a good guarantee in place for the building work they’re investing in. In 2016, NZCB introduced a new building guarantee called Halo, which is mandatory for all our members to take out for any work of $30,000 or more that they’re doing for their clients. We believe Halo is the most comprehensive building guarantee currently available in New Zealand, and stacks up well against other building guarantees in a recent Consumer NZ comparison. The Halo scheme is also underwritten by Lloyd’s of London, which gives it strong financial backing, and is independently managed, which ensures there’s no conflict of interest in the management of claims as can be the case with in-house guarantees. Our homes are typically our biggest financial investment, and we also tend to invest a good chunk of our heart and soul in them too, so it’s critical to get any new build or renovation right. It can be stressful, but also incredibly fulfilling. If you’re breaking ground or making home improvements in 2018, make sure you plan the work carefully, ask the right questions, and make informed choices.

TOP TIPS Build trust before you build anything. Check your builder’s qualifications and references. Establish good lines of communication with your builder from the outset.

Plan in as much detail as possible. Once underway, a change of plan often means delays and costs. Fine if you’ve changed your mind – frustrating if it’s due to something you never thought of. Make the most of your builder’s expertise and advice, before it’s too late.

Plan for strength and warmth. Remember that first and foremost a home is a shelter. Investment in seismic resilience is preventative insurance, and energy efficiency is mostly about heat absorption and retention.

Ask for a fixed price, but have funds in reserve. Always keep some contingency in your budget. You’ll sleep better.

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Beware of fads in design and materials. What’s more important: Wowing your friends at the housewarming, or looking good and working well in 20 years?

Get the paperwork sorted. Always ask for a written contract and ideally a building guarantee. Check the fine print on both – make sure your building guarantee is worth the paper it’s written on.

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PEACE OF MIND

AN INVESTMENT WORTH PROTECTING

Registered Master Builders Chief Executive David Kelly explains why warranties are an integral part of any building project. TOO MANY HOMES are being built and renovated in New Zealand without the protection of a warranty. Building a new home or undertaking a major renovation is often the biggest investment of someone’s lifetime, yet we estimate about half of all new builds are not protected. Building warranties should be viewed as a vital part of any building project. In many countries, they are mandatory. Most lenders and banks require them – so why aren’t they more prevalent in New Zealand? We believe there is a lack of understanding about the limitations of protection under the Building Act

completed to a high-quality standard to deliver a better-built New Zealand. Registered Master Builders were and Consumer Guarantees Act. the first to offer building guarantees Building guarantees provide much in New Zealand. For the last 25 years, greater protection than both these we have protected more than 140,000 acts, and provide cover not included by homes with our Guarantee, which has general house insurance. Consumers are been developed in New Zealand for not covered for loss of deposit and nonNew Zealand homes. We have recently completion under these Acts, and cover updated and relaunched our Guarantee for materials and workmanship is limited to ensure we continue to meet the to one year. Most importantly, under the evolving needs of consumers. Building Act, if a builder is no longer in While the vast majority of building business, the warranty becomes void. projects go through smoothly, we A guarantee ensures recognise that your investment is things can go wrong. WHEN IT COSTS LESS protected regardless of THAN 1% OF THE BUILD Guarantees provide an COST, WHY WOULDN’T efficient process to get whether your builder is YOU PROTECT YOUR still in business or not. a resolution during an BIGGEST INVESTMENT? We are building emotional and stressful more homes than ever time. They are the only before. As Master Builders, we set the way to protect your investment when standard for professionalism in this time you are renovating or building a new of boom. Part of that professionalism home. And when it costs less than 1% of is the Master Build 10-Year Guarantee, the build cost, why wouldn’t you protect which is focussed on getting the home your biggest investment? 21

CASE STUDY: STONEWOOD HOMES NZ THE ISSUE WITH Stonewood Homes NZ in 2016 is a good example of the need for protection under a building guarantee. The franchise collapsed, but under the Master Build Guarantee, 110 homes were completed and a further 150 had issues resolved. This is a great example of the Guarantee in action. We worked with the new Stonewood owners and other Registered Master Builders to ensure a great outcome for these homeowners at a very stressful time.

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ANALYSING A&A

Gareth Kiernan, Chief Forecaster at Infometrics, explains how renovation work fits alongside new residential building. ONE OF THE comments I often hear talking to people in the residential construction industry is that alterations and new building activity move in different directions. The comment is usually made in the context of a drop-off in new building, when alterations and additions (A&A) are viewed as a cushion to soften the downturn. But the data does not back up this assertion. Graph 1 shows the ups and downs of residential building over the last decade, M I T R E 10

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split into new work and alterations activity. Data limitations mean that the graph only covers consented building activity. However, American data suggests that at least as much money again goes into non-consented renovations such as redecorating or new kitchens, and that this spending shows the same cyclical pattern as consented work. A quick glance confirms that new building and alterations activity move 22

in tandem. That’s not to say that getting involved in a mix of the two building types is a bad business move. Although the two subsections of residential construction move together, our graph also shows that new building activity is, in general, more variable throughout the cycle than A&A work. In other words, A&A activity falls by less during a downturn, and so helps mitigate the squeeze caused by the decline in new residential building.


UPS AND DOWNS

GRAPH 1: ALL TOGETHER NOW Residential building work put in place, year-end % changes 30%

20% 10% 0%

-10% -20% -30% -40% 2008

2009

2010

2011

2012

2013

Alterations & additions

money in household budgets, as well as making it “cheaper” to borrow for renovations. Our analysis suggests that it takes about a year for the effects of mortgage rate changes to flow through into A&A work. The other cyclical driver of A&A work is household incomes. Increases in real incomes (that is, over and above CPI inflation) give households more spending power. Some of that increased discretionary spend ends up going on renovations. Graph 2 shows our forecast for A&A work over the next few years. We predict an 11% drop in activity What are the main drivers of A&A activity? Work we have previously done indicates three key influences. The first driver is house sales. When people buy or sell a property, renovation work often takes place around the time of the transaction. For the seller, this work is more likely to be non-consented activity to make the property more saleable – new carpet or a lick of paint, for example. Although some buyers will also do cosmetic renovation work, they are probably more likely than sellers to undertake more structural alterations and additions to make sure the new property best meets their needs. Not all renovation work is tied up with a house sale. The second key influence on A&A activity is interest rates. Lower mortgage rates directly stimulate the housing market, but they also free up

2014

2015

2016

2017

New builds

during 2018 as the softer housing market reduces the amount of renovation work taking place. As the tail end of quake repair work in Christchurch is finished over the next few quarters, it will also dampen total activity. Nevertheless, we still expect overall spending on A&A work to hold close to the previous record reached in the middle of last decade, reflecting broader economic conditions that will stay relatively positive for renovation work. To find out more visit infometrics.co.nz

GRAPH 2: CONDITIONS GET A BIT ROUGHER FOR RENOVATIONS Annual running total of A&A work put in place, 2009/10 $m

1,800

1,600

1,400

1,200

1.000

800 1984

1988

1992

1996

2000

Alterations & additions 23

2004

2008

2012

2016

2020

Excl quake effect M I T R E 10

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INSURANCE

WHEN RENOS GO WRONG

Ben Rickard of Builtin discusses contract works insurance in Part One of our series on how not to stuff up your insurance cover. WHILE MANY BUILDERS enjoy the challenge of renovation and alteration work, a whole set of issues can derail the project, turning it quickly into a nightmare experience for everyone involved. If this happens, it’s vitally important that the insurance for the project has been arranged correctly. Many house insurance policies require the client to notify their insurer if alterations or additions are being made. This may involve additional insurance to cover the work being done, and the general increase in risk that comes with it. A good building contract will specify what insurance needs to be arranged and who is responsible for arranging it. You must follow the contract.

Q: When should contract works (builder’s risk/construction) insurance be arranged? We frequently receive calls from homeowners and their builders needing to arrange contract works insurance well through a job, because the client needs some bank finance to complete it. Trying to arrange the insurance when the project is substantially underway already can be very difficult, costly, and sometimes not possible. So make sure it’s done from the start. Q: Who arranges it? Most contracts will require the building owner to arrange contract works insurance if the work involves an existing structure. This is for good reason, and we strongly urge builders to resist the temptation to arrange this themselves, even if the client (or their bank) insists it’s your job (it’s usually not – check the contract). The client should ideally arrange it with their existing house insurer (and get confirmation in writing), so that one company is covering both the existing structure and the works. Make sure you see a copy of the insurance certificate before you start M I T R E 10

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work, too. This ensures the homeowners have actually done it. Even though it’s in the contract, some choose not to, don’t want to pay for it, find it too hard, or simply forget. If they haven’t (or haven’t done it correctly – with you named on it), this could come back to bite you.

policy that names you as the “main contractor”. That’s because if they’re arranging multiple contractors and doing some work themselves, then they are effectively operating as the main contractor, making you a sub-contractor (albeit perhaps a significant one). In this case, they should name themselves as both owner and main contractor on the policy. This way it will cover the full value of all the work being done by multiple contractors. Another reason for the owner to arrange it, and for you to see the certificate of insurance. Q: Is the property being lived in during the work? This can affect the way the insurance is arranged and what it covers. There are also EQC/natural hazards implications – another good reason to ensure your client arranges the cover themselves. Q: When does the policy end? Cover under the policy will end on the earlier of: Practical completion, or the expiry date on the policy, or when the owner takes over, occupies, or puts into use the works (or a portion of the works). This last one can be tricky when it comes to renovations and alterations, so be very clear about when the client can move into/return to the space you’ve been working on and the implications for cover under the contract works insurance versus their house cover (once again, another good reason for the homeowner to arrange it!).

Q: What and who is covered? Contract works insurance covers what it says on the tin: The works in the contract. So if the owner is arranging work that is outside your contract, it won’t be covered by a policy that just insures the work you IN A NUTSHELL Builtin are New Zealand’s Trade (and your subbies) You need to tread Insurance Experts. For more info, visit builtin.co.nz, contact are contracted carefully when Ben Rickard at ben@builtin.co.nz, to do. Once you it comes to the or phone 0800 284 584. complete your insurance covering contract, the policy renovation and expires. The owner can supply materials alteration work. Following the terms to you that you install, and these can of the contract and being aware of be covered, but if they’re arranging the key issues (like the ones described the painting separately, it won’t be here) should reduce the risk of insured by a contract works insurance a problem becoming your problem.

Part Two in this series will cover liability, indemnity, and 10-year building warranties, and why they’re important for renovation and alteration work.

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BUILDING DREAMS

NOT JUST PLAYING HOUSE

Seven talented Kiwi apprentices built a colourful, creative dream house for some tough customers. THE BUILDING AND Construction Industry Training Organisation (BCITO) has launched a new campaign aiming to show New Zealanders anything is possible with a career in the trades. Called TradeUp, the goal of the campaign is to encourage more Kiwis to sign up to an apprenticeship in order to meet the demand the construction industry continues to face. To demonstrate what is possible in the trades, a group of talented Kiwi apprentices had less than a week to build one of the most difficult design briefs they will ever receive. Wellington siblings Xavier (8) and

Tui (6) designed their dream house, complete with his-and-hers turrets, a slide, and a rock-climbing wall. The group of seven BCITO apprentices had only five days to make this dream a reality and showcase that anything is possible. The project was led by Cody Webby, who recently completed his apprenticeship through BCITO. “The team had their work cut out for them to get the job completed on time and up to the high expectations of Xavier and Tui. This isn’t your regular project; it tested their skills to the limits – but they were up the challenge, and Xavier and Tui were stoked with the results,” says Cody. 25

BCITO is the leading provider of building and construction industry apprenticeships in New Zealand. The build showcased many of the 15 trades that BCITO offers, including carpentry, brick and block, and glass and glazing. BCITO Chief Executive Warwick Quinn says he hopes the project will encourage more people to consider a career in the trades. “New Zealand still desperately needs more apprentices in the building and construction industry to meet demand. About 50,000 workers are needed in the construction industry over the next five years, about half of these needing to be trade-qualified,” says Quinn. Quinn says the ability to earn while you learn and the Government’s new fees-free policy, which covers the first two years of an apprenticeship, make it a fantastic opportunity for people to consider. “We hope that when people see what is possible, more Kiwis will consider trading up to an apprenticeship.” To find out more, visit TradeUp.nz M I T R E 10

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IN THE FRAME

Take a fresh look at wall framing with the innovative GIBFix Framing System.

This Christchurch home, an early adopter of theGIBFix Framing System, received a 10 star rating under the HomeStar programme.

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THERMAL EFFICIENCY

WITH INCREASED NZ Building Code requirements and growing customer demand for thermal efficiency and high-quality interior finishes, traditional framing practices present problems, such as multiple framing members at wall intersections creating thermal “bridges”, and cavities where insulation cannot be installed effectively. Multiple framing members also take longer to dry, resulting in an increased risk of fastener pops and blemishes emerging from timber frame movement. The GIBFix Framing System offers better thermal efficiencies and minimises potential joint imperfections resulting from interior linings being fixed to multiple timber framing members. One of the first projects to utilise the GIBFix Framing System was a new home built in Church Square, Christchurch which also achieved a 10 star rating under the HomeStar programme. Designed by architectural designer Bob Burnett, sustainability and affordability were central to the build, along with creating a modern, stylish home. IMPROVED THERMAL EFFICIENCY For Bob, thermal efficiency was a key driver in adopting the GIBFix Framing

A typical GIBFix® corner and intersecting wall layout

System. “Thermal efficiency is where it all starts. The idea of less thermal bridging and more insulation in the wall is a real key component to how we design a house with no power bill – an energy positive house,” he says. As the GIBFix Framing System removes a volume of timber framing at corners and intersecting walls and is replaced with a GIBFix metal angle, overall thermal efficiency of the external wall envelope is improved, as insulation can now be more effectively positioned throughout the full wall cavity. Traditionally hard-to-insulate areas

such between triple corner studs were removed to allow insulation to better fill the framing cavity. REDUCING POTENTIAL FASTENER POP Fastener popping resulting from the movement of the timber frame would also have been immediately obvious on the interior lining. The GIBFix Framing System helped to effectively lock the plasterboard corners onto a single metal angle rather than being fastened across multiple timber studs, and helped reduce the potential for costly site callbacks post-construction to fix fastener pop and other interior lining issues resulting from timber frame movement. SYSTEM COST “I think it’s a bit of myth that it’s expensive to do something better,” says Bob. “The GIBFix Framing System is a good example of something that is a good improvement that doesn’t cost more. In our experience, overall, the cost of using the GIBFix Framing system on the Church Square project was costneutral compared to using a traditional timber framing layout. The cost of the GIBFix Angles and GIB Grabber Dual Screws was offset by savings made through reduced timber usage.”

GIBFix® Angle prior to plasterboard installation. The framing system minimises potential joint imperfections resulting from interior linings being fixed to multiple timber framing members.

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For more information on the GIBFix Framing System, contact the GIB Helpline on 0800 100 442 or visit gib.co.nz M I T R E 10

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BRICKING IT

BEHIND THE VENEER

Working with an existing brick veneer? Here are some things to think about to ensure you get the best result.

DO YOU NEED HELP MATCHING THE BRICK? New styles and ranges are constantly coming on to the market. If you require help identifying the product you are trying to match, email a photo of it to the Brick and Blocklayers Federation at info@bbfnz.co.nz. They will pass it through to their brick and block supplier database on your behalf. PLAN YOUR INTEGRATION This is especially important if the renovation involves the continuation of a wall. Removing some of the existing veneer may allow for a smoother transition with brick blending and bond pattern. BRICK STAINING Even if you have taken all the steps you can to match the existing veneer, you could still be faced with visible differences due to aging of either the bricks or mortar joints. It is recommended to create a contingency budget for brick staining. For minor alterations, brick staining may be a simpler option than attempting brick matching. Brick staining is also a great option even if you are not altering the veneer but are after a refreshed look. The Brick and Blocklayers Federation recommends the use of Nawkaw technology for brick staining.

IF YOU ARE renovating or repairing a brick veneer building, your options may vary depending on whether the renovation is an addition to an existing building or an alteration to a wall. Here are a few things that the Brick and Blocklayers Federation suggests you may want to consider. YOU NEED TO LABORATORY TEST BRICKS BEFORE REUSING THEM ON A VENEER Over time, the moisture content of bricks settles. This often reduces a brick’s size and load capability. It can also affect mortar bonding. NZS 4210:2001 (section 2.1.4.6) requires testing of compression strengths and seven-day mortar-to-mortar bond strengths before a “secondhand” brick can be used on a veneer. You can arrange testing via Opus or SGS laboratories.

Brick staining is sometimes a simpler option than attempting brick matching, and ensures your finished look is seamless.

PROTECT YOUR WORK FROM THE ELEMENTS Whether you are renovating or building, now that we are heading into the wet season, remember the importance of ensuring that you protect from the elements any brick and block units or incomplete building systems such as veneers. For more information on building with brick, visit bbfnz.co.nz

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AIR QUALITY

DEFEATING THE DUST

Onsite dust exposure is dangerous and unhealthy for tradies – here’s how to stay safe. EVERY YEAR, EXPOSURE to airborne contaminants such as wood dust and silica hospitalises 5,000 to 6,000 Kiwis. Construction workers are 20 times more likely to die of exposure to harmful airborne substances than from a workplace accident. Employers have a responsibility to keep their workers safe and healthy. This means thinking about how risks like dust can be eliminated or minimised. So what can you do? The team at Site Safe have some quick tips. Dust can be produced when materials are cut, drilled, demolished, sanded, or shovelled. Dust that can’t be seen is the dust that can cause the most harm. Watch out for: ■■ Cutting, sanding, grinding, sweeping, and polishing operations. ■■ Old lead pipes (lead oxide dust). ■■ Stripping out fibrous insulation, lagging, or packing materials (potentially asbestos). ■■ Dry and exposed work sites. ■■ Wind and heat. Breathing in silica dust can cause lung tissue to scar (silicosis), chronic obstructive pulmonary disease, and lung cancer. Silica can be found in

concrete, bricks, rocks, stone, sand, and clay. Silicosis is permanent, and can continue to develop even after exposure has stopped. Once silicosis has developed, there can be an increased risk of kidney disease and tuberculosis. Testing for it is difficult, so prevention is vital. Symptoms to watch out for include frequent dry coughing, shortness of breath, wheezing, and increased tiredness.

Site Safe is a national not-forprofit membership organisation that promotes, supports and inspires a culture of health and safety in the NZ construction industry. Site Safe’s four-hour Passport renewal course on worker health includes a focus on dust. For more information see sitesafe.org.nz

TIPS TO REDUCE THE RISK Wet working methods can keep dust out of the air – and your lungs. Spray surfaces with water or cover (especially piles of sand or gravel outdoors). Make sure you have enough water for the whole job. ■■ Clean equipment and work areas frequently with a water hose. Don’t dry sweep. Be careful, as dust can affect other workers and the public. ■■

Always use the correct PPE for the materials you’re working with. Seek professional advice on the right type of respiratory protection or mask.

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Silt can’t go down the drain. It needs to be collected and disposed of. ■■ Use tools with on-tool extraction. Use Local Exhaust Ventilation (LEV) where appropriate. ■■ Wash face and hands immediately after finishing tasks and before eating, drinking, or smoking. ■■ Wash contaminated work gear, clothing, and boots on site if possible. Wash ■■

dusty clothes separately. Wear suitable PPE (in accordance with the safety data sheet), such as respiratory protection (RPE), hearing protection, overalls, jacket, gloves, hard hat, and eye protection. Seek professional advice on the right type of RPE. ■■ Other steps to consider are air monitoring, health monitoring, training, and warning signs. ■■


TALK IT THROUGH

MANAGING THE CLIENT THROUGH A RENOVATION Clear and timely communication is the key to a successful working relationship with renovation clients, says The Trades Coach Andy Burrows.

THE RENOVATION PROCESS can be a stressful time for your client, and also for you. Unless the client has been through the process before, having a team of builders take over their home, create a lot of noise and mess, ask tricky questions, and cost a lot of money can be a difficult situation to handle. How you manage this journey for a client, especially when things don’t go exactly to plan, can be the difference between a great outcome and a miserable one. It generally comes down to one thing: Communication. In particular, communicating as much as possible with a client before the project gets underway, and then topping up the communication process on a regular, formalised basis as the project unfolds. We’ve all heard of or experienced a reno project that has run off the rails. One that may have started out okay but, with time and cost blowouts, has resulted in acrimony and threats of legal action between the parties. Not all of these can be avoided, but a good number can be sidestepped through a better communication framework.

client, tell them how you will deal with it, and seek their agreement. SET SOME GROUND RULES This is also a good opportunity to lay down the rules on how and when you will meet the client to discuss the project. Regular communication is good, but that doesn’t mean you need to field phone calls at 10:30pm on a Friday! A regular onsite meeting, plus a device for them to record questions (manual or software-based), should be an acceptable structure that will help everyone to keep track of what’s been said and agreed on.

COMMUNICATION = SUCCESS By developing some simple but comprehensive communication systems in your business, the client management dynamic is more likely to be a positive one, resulting in great referrals. I have a number of tools that may help you develop or refine your own communication system, so email me at andy@tradescoach.co.nz with your questions and I will send you a sample. For more information, contact Andy at andy@tradescoach.co.nz or visit tradescoach.co.nz

START BEFORE YOU GET STARTED The project’s pre-start period is where you should go through an extensive agenda with the client trying to “preliminate” as many potential problems as you can. Everyone is in a positive mindset and excited by the project. You know what has caused issues in the past on reno projects. Don’t just go into the next one hoping that issue won’t occur again. Chances are it will, so raise it yourself with the 31

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Protect your tools

Engrave, Record, Secure and Report

Engrave your tools with your

driver licence number – that way, if found, they are easier to return to you.

Record your serial numbers and

keep it in a secure location.

Secure your tools – use good locks. Report any suspicious activity

to Police.

– Do not leave your tools, or any other valuables, in your vehicle overnight. If you have to – keep them secure and out of sight. – Break the cycle – only buy tools from a reputable business. If it sounds too good to be true, it probably is.

Incident to report?

Contact your local Police station or Crimestoppers on 0800 555 111


STOP THIEF

BREAKING THE CYCLE

While tool theft is on the rise, New Zealand Police are helping tradies do something about it. TOOL THEFT IS becoming a common problem, whether they’re stolen from your vehicle, from onsite, or from your garden shed. New Zealand Police officers are asking all tradies and DIYers to engrave their tools with their owners’ driver licence number. To kickstart the process, police have been attending Mitre 10 MEGA Trade Breakfasts throughout New Zealand, engraving tools for free. While similar initiatives have taken place in various districts over the years, the “Protect Your Tools” campaign was started and grown in Waitematā by District Victim Coordinator Sergeant Aron McKeown. After a fantastic initial response, the initiative has been rolled out across all Police districts. “It’s a great opportunity for community engagement,” Aron says. “We’re there to have a chat, and also offer to engrave their tools while they have breakfast.

“As construction grows, we’re seeing an increase in construction site burglaries and tool thefts. Tools are highly valued items because they are easily portable and have a high resale value.” Many tools are recovered at drug-related search warrants. “This indicates that offenders are using tools as a commodity to buy methamphetamine and other drugs in our community,” Aron explains. Late last year, 42 power tools worth more than $40,000 were recovered by officers executing a search warrant. Police could return only half to their owners after a difficult and time-consuming investigation which involved contacting tool manufacturers and suppliers. Police are often unable to return tools to their rightful owners because the serial numbers have not been recorded or the tools don’t have other identifiable marks such as a driver licence number engraved into the item. “The aim of the engraving work is to assist with this in the future and, of course, to prevent tools being stolen in the first place,” says Aron. “Working with the trade sector, attending events, passing on prevention messaging, and engraving tools has been really rewarding work. We’ve had a really positive response from the tradies just seeing us doing something for them. It’s important to work together to break the cycle.”

District Victim Coordinator Sergeant Aron McKeown (left) started the “Protect Your Tools” campaign in Waitematā, and is pleased it’s now been rolled out across the country.

TIPS FROM NZ POLICE Engrave tools with your driver licence number. Police will have a better chance of returning them if they’re stolen. ■■ Record serial numbers or take photos of your tools, and keep the details somewhere safe. ■■ Secure tools using good locks on sheds and containers. ■■ Report any suspicious activity or incident to Police. Break the cycle by only buying tools from a reputable business. If a deal sounds too good to be true, it probably is. ■■

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TOOL REVIEW

NAILING IT

Check out the DeWalt Cordless Finishing Nailer – a must-have for the job site.

THREE BUILDERS FROM Auckland’s HD Construction have been using DeWalt’s Cordless Finishing Nailer (DCN661P2-XE) for the past six weeks. Owner Hamish Don, along with qualified builders Ed Jennings and Brett Barnsy, spoke to Trade Quarterly about the nail gun’s power, battery life, versatility, weight, and quietness. All three builders spoke highly of the tool’s all-round performance, saying the gun is a must-have for them on the job

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site. Ed was particularly impressed with the Finisher’s ability to handle the power of the technology, and has been using it for skirtings, as well as door and window frames. “We had no trouble with the power coming from the 5.0Ah battery pack. There are about 2,000 shots per charge – its power and speed are very good for what any builder needs,” he says.

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He also spoke of the ease of having a battery instead of gas canisters, and the light weight of the gun at only 2.95kg with the battery. “It’s great not having a gas canister. With other products, you have to change them quite a bit and carry them around. Sometimes you can get caught out if you’re working offsite and don’t have a spare gas canister, so having a battery is much more convenient,” says Ed. All three builders also spoke highly of the battery life of the Finisher. “We didn’t even get through a whole charge when we were using it, so the charge time is more than enough. The batteries are really good.” One of the standout features of the Finisher is its quiet operation, with all three builders saying it is noticeably less noisy than other models on the market. “The Finisher is very quiet, and it’s great when working in confined spaces like cupboards. Other products tend to hurt my ears, but this one is far superior. The LED headlight is also a great feature for visibility when working in confined spaces,” says Brett. Brett, a left-handed builder, also appreciates the versatility of the belt clip. “It’s great as you can put the belt clip on both sides – a great feature, as I’m lefthanded.” “There is a lot less maintenance with this Finisher – it will probably save about $30 to $40 a month in servicing, as you only need to do this once a year instead of every few months with other models,” says Hamish. Hamish, Ed, and Brett all recommend the DeWalt Finisher, saying it’s set to be a game-changer in the industry.


THE FUTURE OF

FASTENING FULL CORDLESS OPERATION NO GAS REFILLS REDUCED RUNNING COST

LESS SERVICING IMPROVED RELIABILITY 3 YEAR WARRANTY* PART OF THE 18V XR LI-ION SYSTEM *TERMS & CONDITIONS APPLY – SEE WEBSITE OR ASK IN STORE FOR DETAILS


NAIL THE WHOLE JOB WITH US From the foundations to the fenceline you can get the whole job done with Mitre 10. We can supply and deliver your complete build, sort out any special orders, and help make the whole job go as smoothly as possible.

mitre10.co.nz/trade

Mitre 10 Trade Quarterly - Winter 2018  
Mitre 10 Trade Quarterly - Winter 2018