Ops Report-Training Guide

Kolter Homes Ops Reporting / Training Meeting July 19, 2016

1

WELCOME AND INTRODUCTIONS

2

Agenda

Tuesday July 19, 2016

Continental Breakfast



8:00 – 8:30

Welcome and Agenda Review



8:30 - 9:00

 Project Visits & Meeting Organization

How to Organize a Purpose Meeting



 How to Organize a Project Review Meeting

9:00 - 10:00

Land Development



Finance



10:00 - 11:00

Marketing



Finance



11:00 - 11:30

LUNCH



Sales



11:30 – 12:30

Customer Survey



Finance



12:30 - 1:30

Purchasing



Design



Plans & Permitting



1:30 – 2:30

Finance



Construction



Customer Service



2:30 – 3:00

Finance



Dashboard



3:00 - 4:00 4:00 - 4:30

Closing Remarks (Doug & Rick)



3

PURPOSE MEETINGS

4

PURPOSE MEETINGS

 CONCISE, NOT SUPERFLUOUS (NO FILLER)  YOU ARE IN CHARGE. IT IS YOUR AGENDA.

 HIGHLIGHT THE INFORMATION WE NEED TO KNOW.  PROVIDE YOUR RECOMMENDATION BASED IN FACT.  FACILITATE & MEDIATE THE DISCUSSION.  MOVE ON.

ALWAYS INCLUDE THE START UP TIMELINE!

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Development:  Site Development – Cresswind Parkway & Model Park Paved. Phase #1 – Sewer 80%, Grading 75%, Storm 0% Cresswind Peachtree Status

 Amenity Site – Padded. Civil submitted.  Lift Station – Complete and accepted

 MacDuff – Scheduled to be to Cresswind Entrance by 8/21/16  CXS Bridge – All approvals acquired. Pre-con ETA 7/1/16  Variance – Final analysis complete. Wynn’s pond engineer reviewing. ETA 7/15/16 Construction:  Home Building – 11 Permits acquired. Homes in various stages.  Welcome Center – Rejected and will be reviewed under commercial. Resubmitted 6/14/16.

6

Start Up Timeline (New Projects)

N:\Communities\Active\Georgia\Peachtree City\Land & Legal\Acquisition Documents\Startup Timeline and Checklist

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Critical Path Schedule

Critical Path to Opening

Description

16-Jun

16-Jul

16-Aug

16-Sep

16-Oct

16-Nov

16-Dec

17-Jan

17-Feb

17-Mar

17-Apr

17-May

17-Jun

17-Jul

17-Aug

CXS Bridge

MacDuff Parkway to Cresswind Entrance

MacDuff Parkway Dedication

Cresswind Phase#1 Development

Cresswind Phase#1 Development Plat

Lift Station

Opening

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Central Florida Projects

Victoria Park Combined Model Park

I.

Overall Plan

A.

Design Packages

B.

C. Sales Center & Design Center Space Planning

D. Kolter Central Florida Office Space Planning

Cabinet Layout Approval

E.

13

Model Park Site Plan

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Sales & Design Planning

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Central Florida Office Plan

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PROJECT REVIEW MEETINGS

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Project Review Agenda

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1.1 Executive Summary

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2.1 Scatter Plot (Community Level)

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2.1 Scatter Plot (Product Level)

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LAND DEVELOPMENT

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LAND DEVELOPMENT

 COMMUNITY TRACKING REPORT  CONTRACT / BID LOG  SITE WORK CONTRACT  SITE WORK PROGRESS MAPS

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COMMUNITY TRACKING REPORT

 LOCATION ON SERVER = Common\Communities\Active\Florida\Artistry\Land & Legal\Acquisition Documents\Startup Timeline and Checklist\Current\Artistry Timeline 6-28-2016  COORDINATE UPDATE WITH PROJECT DIRECTOR  INCLUDE VARIOUS PHASES & AMENITY  EXECUTIVE SUMMARY  CRITICAL DATES THAT ROLL-UP  ORIGINAL = UNDERWRITING = FROZEN

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COMMUNITY TRACKING REPORT

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CONTRACT / BID LOG

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CONTRACT / BID LOG

• LOCATION ON SERVER = Common\Communities\Active\Florida\Alton\Land & Legal\Owner Agreements\Contract & Bid Log • FOR PROJECT DIRECTORS & LAND MANAGERS • STATUS OF BIDDING & CONTRACTING • COMPARE / REVISE BUDGET • CONTRACTS TO GET SIGNED • COMPARE CONTRACTOR’S SCHEDULE TO TRACKING REPORT DATES.

27

SITE WORK CONTRACT

 LOCATION ON SERVER = Common\Communities\Active\Florida\Alton\Land & Legal\Owner Agreements\KH Contractor Agreement-Sitework  STANDARD FORMAT (READY NEXT QUARTER)  SIGNED BY LAND MANAGER  ADD BILLING CODES TO PRICING EXHIBIT  CONSULTANT’S LIABILITY:

 DO NOT LIMIT LIABILITY TO CONSULTANT’S FEES.  LIMITED TO THE PROCEEDS OF CONSULTANT’S PROFESSIONAL LIABILITY INSURANCE POLICY.

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“Not another rain delay…”

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SITEWORK PROGRESS MAP

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SITEWORK PROGRESS MAP

 LOCATION ON SERVER = Common\Communities\Active\Florida\Alton\Land & Legal\Sitework Progress Maps\Sitework Progress Map 070616  TO SHOW STATUS OF SITEWORK CONSTRUCTION  SANITARY, WATER, STORM SEWER  CURB, BASE ROCK, PAVING, SIDEWALK  GAS, ELECTRIC, CABLE  PREPARE MAP WEEKLY (DURING WORK)  CONTRACTOR DAILY RAIN LOG

31

Finance: Land Development

 Lot Development Status Report

 How can we make it easier to input these figures? Demo: Input Sheet

 Application: Running out of lots at Vic Hills

 Can we create an interactive site plan (like that used on the website) for land development status reference?  Land Development Contracts

 Centralization of coded contracts  Forecasting Future Phase Development

 Is there a better means of determining land development figures, when incorporating them into Pro Forma model assumptions?  Demo: Project Schedules

Lot Development Status Report

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MARKETING

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ESSENTIAL MARKETING REPORT DATA

To effectively direct Marketing strategy, execution and spend we rely on three primary data sources. These are:

• GOOGLE ANALYTICS

• CMS REPORTS

• JOB COSTS VARIANCE REPORTS

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GOOGLE ANALYTICS

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GOOGLE ANALYTICS

Since the journey for many of our customers starts and/or relies on information they research & gather online, this is where our analysis starts. The key reports:

• SITE ACTIVITY: User Sessions, Unique User Sessions and Page Views

• SOURCES: Web Sites driving Users to KolterHomes.com pages

• ALL PAGES: which Pages within the KolterHomes.com domain are being viewed the most … and not

• DEMOGRAPHICS: User Profile and Interests

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GOOGLE ANALYTICS: SITE ACTIVITY

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GOOGLE ANALYTICS: SITE ACTIVITY

Those 860 further generated an additional 3,000+ Pageviews above average = 12,812 total

yielded 860 pageviews

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GOOGLE ANALYTICS: SOURCES

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GOOGLE ANALYTICS: ALL PAGES

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GOOGLE ANALYTICS: ALL PAGES

The Ponds and Cresswind at the Ponds seeking to reverse trend of dropping traffic. To start, we worked with Bob and Mike on developing online and direct marketing initiatives. Google Analytics shows in first full 45 days:

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GOOGLE ANALYTICS: DEMOGRAPHICS

Over 50% of Users are 55+

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GOOGLE ANALYTICS: DEMOGRAPHICS

Info is useful in determining sites to target in online ad networks, targeted Cable TV, offers & promotions, etc.

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CMS REPORTS

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CMS REPORTS

The two key CMS reports you should be aware of from a Marketing standpoint:

• SALES STATISTICS: provides tally of 1 st On-Site Visit and Internet INQs

• BUYER PROFILE REPORT: provides Demographic and Geographic data on Buyers and Prospects

Both of these are available under the REPORTS tab on the BuilderCMS homepage.

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CMS REPORTS: 1st ON-SITE VISIT & INTERNET INQ

Select Community(ies)

Select Date Range

This icon means the report can be run for MULTIPLE COMMUNITIES This icon means the report can be run for a SINGLE COMMUNITY

Click on “Sales Statistics”

Check “Onsite/Web Traffic”

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CMS REPORTS: 1st ON-SITE VISIT & INTERNET INQ

Result is a two-part report. Part 1 focuses on 1 st Visits & Be-Backs.

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CMS REPORTS: 1st ON-SITE VISIT & INTERNET INQ

Result is a two-part report. Part 2 focuses on INTERNET INQUIRIES.

General Registration Form ▪ Home/Model Info Request ▪ QD Request ▪ Custom Form

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CMS REPORTS: 1st ON-SITE VISIT & INTERNET INQ

Recall The Ponds and Cresswind at the Ponds: activity on web pages collectively increased in first 45 days but has that translated to more INQs and Traffic?

INITIAL ANALYSIS: • 1 st On-Site Visits have yet to pick-up (not factoring for Southern Flame or including Club opening) • Be-Backs yet to turn as well • Internet INQs up at CP, flat at Traditional – early to convert those to Visits • Collective Sales and Sales Conversion rate up for All Sources and on Internet INQs

49

CMS REPORTS: PROSPECT PROFILE

Select Community(ies)

Select Date Range

Click on “Buyer Profile Report”

Check “Prospects Only”

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CMS REPORTS: PROSPECT PROFILE

Result is a multi-page, multi-part report. The Highlights:

Internet INQs all fall under “E”

Total Prospects includes both On-Site and Internet

Reason these numbers seem odd is because Internet INQs are included and we don’t have that data

51

CMS REPORTS: BUYER PROFILE

Select Community(ies)

Select Date Range

Click on “Buyer Profile Report”

DO NOT Check “Prospects Only”

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CMS REPORTS: BUYER PROFILE

Similar format, which when compared and contrasted against Prospect Profile help to: • Determine if we are targeting accurately • Focus where program emphasis should be • Discover where opportunities may lie Last year at Vic Park we noticed locally-based referrals were driving summer sales so working with Mark and team we quickly developed a “locals” direct marketing program

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MARKETING COST ANALYSIS

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JOB COST VARIANCE REPORT

Taking the Job Cost Variance Report, we plug data into a Marketing Cost Analysis spreadsheet to calculate by Community and compare to previous year’s costs:

• COST PER INQUIRY: how much does each Internet INQ cost

• COST PER VISIT: on average, based on overall Marketing spend, what does each Visitor walking in the door represent on an investment basis

• COST PER SALE: on average, based on purely overall Marketing spend (i.e. not including Commissions), what does each Sale cost on an investment basis

Internet Spend ÷ INQs = $ per Total Spend ÷ Visits = $ per

Total Spend ÷ Sales = $ per

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JOB COST VARIANCE REPORT

We also use the Marketing Cost Analysis spreadsheet as a tool to forecast and estimate budgets on a quarterly, bi-annual and/or annual basis.

FOR EXAMPLE: Verandah 2016 Marketing Budget

Using YTD data, we first calculate Cost per Visit, Conversion Rate, etc.

We are using a similar spreadsheet to track & forecast within year, and our goal is to get this built into the new Dashboard reports so you can track your Marketing Cost status.

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Finance

Reports and Where to Find Them

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Finance

 Margin Analysis

 Importance of keeping “MA” updated to ref lect accurate premium, options, base house and lot unique averages [see Purchasing slide(s)]  Would it be beneficial to see old MA margin expectation figures on the Closed Unit Margin Analysis (CUMA) for more accurate evaluation of closed homes?  Pro Forma/Budget  Importance of keeping analysts apprised of major changes that could impact the Pro Forma  Budget is static; however, the Job Cost Variance Report incorporates BCRs  Rolling Forecast

 Demo: Function of the Rolling Forecast

 Underlying data assumptions [see Construction slide(s)]  RF as it pertains to Area VPs, Rick and Project Financing  Job Cost Variance Report  P/L

 Is a project on-track or off-track, and why?

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SALES

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The number 1 report

Forecast Report

• How do I stand with my sales, specs, and closings for the year. • Based on construction scheduling when are my specs delivering • How many more sales and/or specs are needed to make plan • How many pending agreements do I have in each phase and how does that affect my monthly and annual plan.

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Forecast Page 1

Cancellations only from this year

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Forecast Page 2

This indicates the variance to the current month not the whole year

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Builder CMS Daily Management Reports Forecast Page 3

This date is adjusted: If build pro has the home completing after the 15 th of the month it shows in the following month for expected delivery

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Builder CMS

www.buildercms.com

This is the program we use for tracking leads, prospects and buyers to homeownership.

This is the hub!

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Builder CMS Tips Set your preferences on CMS

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Builder CMS Tips

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Builder CMS Tips

Single community

Multiple communities

There are two different types of reports

“Single community”

“Multiple commuity”

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Builder CMS Tips

Single community

If you are looking to receive a report for multiple communities, but, the report is a single community report use the “Email Group Reports” function

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Builder CMS Daily Management Reports 1. Spec management report 2. Hot prospect report 3. Visit report detail 4. Community sales summary 5. Sales report

6. Top sales report 7. Pipeline report 8. Option catalogs

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Builder CMS Daily Management Reports Forecast

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Builder CMS Daily Management Reports 1. Spec Management Report

Indicates all specs with model, square footage & bottom line pricing

• How many specs are released and of what model type and elevation • What are the stages of my specs • What is the price per square foot • What are my averages • What are my bottom line prices

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Builder CMS Daily Management Reports 1. Spec Management Report

Indicates all specs with model, square footage & bottom line pricing

Populated by Build Pro data

Lot Status

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Builder CMS Daily Management Reports 1. Spec Management Report

Indicates all specs with model, square footage & bottom line pricing

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Builder CMS Daily Management Reports 2. Hot Prospect Report

Indicates prospects that the New Home Consultants consider hot

• How many hot prospects are each consultant working with • What are the recent contacts that have taken place with these prospects • Is the team keeping in touch with their hot pipeline

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Builder CMS Daily Management Reports 2. Hot Prospect Report

Indicates prospects that the New Home Consultants consider hot

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Builder CMS Daily Management Reports 2. Hot Prospect Report

Indicates prospects that the New Home Consultants consider hot

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Builder CMS Daily Management Reports 3. Visit Report detail

Indicates conversion rates and follow up proficiency for a time specific period

• What are the beback conversion rates of each consultant • What are the sales conversion rates for each consultant • What are the average amount of contacts for each prospect • How many prospects are receiving a large amount of follow up

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Builder CMS Daily Management Reports 3. Visit Report detail

Indicates conversion rates and follow up proficiency for a time specific period

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Builder CMS Daily Management Reports 3. Visit Report detail

Indicates conversion rates and follow up proficiency for a time specific period

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Builder CMS Daily Management Reports 4. Community Sales Summary- 1 st page is the summary Indicates pending, approved, cancellations and the status of homesites for a specific time period.

• How many pending agreements are in work and what phase • How many approved, closed and cancellations took place • What are the reasons for agreements being cancelled or not approved • How many homesites are left in a phase

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Builder CMS Daily Management Reports 4. Community Sales Summary- 1 st page is the summary Indicates pending, approved, cancellations and the status of homesites for a specific time period.

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Builder CMS Daily Management Reports 4. Community Sales Summary- Subsequent pages indicate the details Indicates pending, approved, cancellations and the status of homesites for a specific time period.

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Builder CMS Daily Management Reports 4. Community Sales Summary Indicates pending, approved, cancellations and the status of homesites for a specific time period

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Builder CMS Daily Management Reports 5. Sales Activity Report- by month Indicates pending, approved, cancellations and the status of homesites for a specific time period

• How many homes sold in January, February, March cumulative

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Builder CMS Daily Management Reports 5. Sales Activity Report- by month Indicates pending, approved, cancellations and the status of homesites for a specific time period

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Builder CMS Daily Management Reports 5. Sales Activity Report- monthly detail

Indicates approved, cancellations broken down by month.

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Builder CMS Daily Management Reports 6. Top Sales Report- Summary

Sales leaders with dollars, units, co-broke & discounts

• Who is selling the most homes • Who is selling the highest dollar volume • What is the Realtor participation per consultant • How much dollars are being used towards incentives

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Builder CMS Daily Management Reports 6. Top Sales Report- Summary

Sales leaders with dollars, units, co-broke & discounts

Sorted by $ volume

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Builder CMS Daily Management Reports 6. Top Sales Report- Summary

Sales leaders with dollars, units, co-broke & discounts

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Builder CMS Daily Management Reports 6. Top Sales Report with detailed individual sales

Indicates who is selling the homes in an Excel sheet

• How can I quickly view who is selling the most • I would like to see the details on all sales and cancellations in excel

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Builder CMS Daily Management Reports 6. Top Sales Report with detailed individual sales

Indicates who is selling the homes in an Excel sheet

1 st tab is a summary

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Builder CMS Daily Management Reports 6. Top Sales Report with detailed individual sales

Indicates who is selling the homes in an Excel sheet

Detailed data

2 nd tab indicates the details of each sale and cancellation

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Builder CMS Daily Management Reports 6. Top Sales Report with detailed individual sales

Indicates who is selling the homes in an Excel sheet

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Builder CMS Daily Management Reports 7. Pipeline Contingency Report

Indicates contingency expiration dates on pending and approved agreements

• How many contingencies do I have • What are the expiration dates of these contingencies • Are my homes tracking to complete before or after the date on the agreement

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Builder CMS Daily Management Reports 7. Pipeline Contingency Report

Indicates contingency expiration dates on pending and approved agreements

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Builder CMS Daily Management Reports 7. Pipeline Contingency Report

Indicates contingency expiration dates

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Builder CMS Daily Management Reports 8. Option Catalogs

There are two types available to print in CMS

• What are the structural options we offer on each floor plan • What are the prices of these structural items • What are the design options and pricing we offer on each floor plan

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Builder CMS Daily Management Reports 8. Option Catalogs

There are two types available to print in CMS 1. Structural

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Builder CMS Daily Management Reports 8. Option Catalogs

There are two types available to print in CMS 2. Design options

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Builder CMS Daily Management Reports 8. Option Catalogs

There are two types available to print in CMS 1. Structural 2. New Star (design options)

“

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Builder CMS Inventory Grid 9. Rendering views 10. Grid views 11. Lot popup data

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Builder CMS Inventory Grid 9. Rendering views 10. Grid views 11. Lot popup data

• How can I visually see what homes are available on a site plan • How can I evaluate lot premiums while looking at a map • What can help determine where my next specs are going • What plans and elevations are on which homesites • What is the public going to see on the website site plan

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Builder CMS Inventory Grid 9. Rendering Views

a. Inventory View- (homes available)

Mouse hover will indicate homesite price

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Builder CMS Inventory Grid 9. Rendering Views

a. Inventory View b. Website View c. Monotony View

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Builder CMS Inventory Grid 9. Rendering Views

b. Website View (what the public sees)

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Builder CMS Inventory Grid 9. Rendering Views

c. Monotony View (plans and elevations view)

Mouse hover will indicate floorplan homesite price

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Builder CMS Inventory Grid 10. Grid Views

• How can I quickly find the options we have selected for a spec or a buyer • How can I see the lot details for a homesite • How can I pull up an agreement for a closed home • How can I see the history of pricing of a specific homesite

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Builder CMS Inventory Grid 10. Grid Views

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Builder CMS Inventory Grid 10. Grid Views- Link to contract function

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Builder CMS Inventory Grid 10. Grid Views- Consolidated function

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Builder CMS Inventory Grid 10. Grid Views-Lot popup (be sure your popup blocker is turned off)

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Builder CMS Historical Reports 11. Spec Analysis by model/TBB

12. Model Report 13. Closed Report 14. Pricing History 15. Heat map and point maps

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Builder CMS Historical Reports 11. Spec Analysis Report- TBB vs Spec

• What percentage of my sales are specs vs. TBB • What are my top selling specs • What are the average options in my specs compared to TBB

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Builder CMS Historical Reports 11. Spec Analysis Report- TBB vs Spec- Page 1

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Builder CMS Historical Reports 11. Spec Analysis Report TBB vs Spec- Page 2 and on

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Builder CMS Historical Reports 11. Spec Analysis Report TBB vs Spec

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Builder CMS Historical Reports 11. Spec Analysis Report by model

• What are my spec sales comparing TBB by model • What are my top selling specs • What are the average options in my specs compared to TBB

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Builder CMS Historical Reports 11. Spec Analysis Report by model

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Builder CMS Historical Reports 11. Spec Analysis Report by model

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Builder CMS Historical Reports 12. Model Report

• What model is my best seller • How do my sales percentages breakdown in each collection by model

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Builder CMS Historical Reports 12. Model Report

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Builder CMS Historical Reports 12. Model Report

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Builder CMS Historical Reports 13. Closed Report

• I want to see where my closed price per square foot is for making informed decisions • What are the average options in my closed homes. • Can I look at my closed homes and my future pipeline PPSQFT in one report

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Builder CMS Historical Reports 13. Closed Report

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Builder CMS Historical Reports 13. Closed Report

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Builder CMS Historical Reports 14. Pricing History

• How can I see when I have had price increases on models • What percentage of increase have we had in a specified time frame • What are my average lot premiums on the starting date and finish date

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Builder CMS Historical Reports 14. Pricing History

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Builder CMS Historical Reports 14. Pricing History

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Builder CMS Historical Reports 15. Heat Map and Point maps

• Where are my prospects coming from geographically • Can I view where my buyers are coming from on a map • Where my prospects/buyers are coming from with a specific source • Where are the Realty offices that are bringing us business

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Builder CMS Historical Reports 15. Heat Map and Point maps Heat Maps and Point Maps may be created to provide insight to where visitors are coming from:

Prospects- (by source) Buyers- (by source) Broker offices Brokers w/ prospects Brokers w/ contracts

Tips:

1) Look at what specific sources are driving from specific areas 2) Target the Realtor offices that are bringing buyers and prospects

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Builder CMS Historical Reports 15. Heat Map

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Builder CMS Historical Reports 15. Point Map

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Builder CMS Historical Reports 15. Heat map and point maps

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Builder CMS Historical Reports 15. Heat map and point maps

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Builder CMS Historical Reports 15. Heat map and point maps

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Builder CMS Historical Reports 15. Heat map and point maps

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CUSTOMER SURVEYS

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Customer Surveys 16. How to find them in CMS 17. Customer Insight website 18. Comprehensive report 19. Comments 20. Heat map and point maps

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Customer Surveys 16. How to find them in CMS

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Customer Surveys 16. How to find them in CMS

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Customer Surveys 16. How to find them in CMS- Prospect Survey

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Customer Surveys 16. How to find them in CMS- Prospect Survey

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Customer Surveys 16. How to find them in CMS- Prospect Survey

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Customer Surveys 16. How to find them in CMS- Post Purchase and Welcome Home Survey

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Customer Surveys 16. How to find them in CMS- Post Purchase and Welcome Home Survey

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Customer Surveys 16. How to find them in CMS- Post Purchase and Welcome Home Survey

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Customer Surveys 17. Customer Insight website https://customerinsight.ca

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Customer Surveys 17. Customer Insight website- Comprehensive Report https://customerinsight.ca

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Customer Surveys 17. Customer Insight website Comprehensive Report https://customerinsight.ca

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Customer Surveys 17. Customer Insight website Comprehensive Report https://customerinsight.ca

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Customer Surveys 17. Customer Insight website Comprehensive Report https://customerinsight.ca

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Customer Surveys 17. Customer Insight website- Comments https://customerinsight.ca

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Customer Surveys 17. Customer Insight website- Comments https://customerinsight.ca

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Customer Surveys 17. Customer Insight website- Comments https://customerinsight.ca

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Happy Selling!

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Finance: Sales

 Demo: Comps Report/Scatter Chart  CMS: Forecast Sales Analysis (Rick Report)

 Cancellations and how they are attributed

 CMS: Inventory Extract  Demo: Bottom-Line Pricing (BLPs)

 Analyze One Lot: Quickly ascertain how and when to price a home  BLP: Determine market trends given various inputs: model, sale date, etc.

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PURCHASING, DESIGN, PERMIT & PLANS

159

Purchasing Reporting List

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Monthly Reports

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Purchasing – Model Cost Estimate Comp MoM

Determine base house cost trends and forecasting increase/decreases. Kolter Hosted

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Purchasing – Housebook Review

Analyze each category once the house is closed. The guidelines are a single line over $250 or the total lot is $2,500. Kolter Hosted

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Purchasing – EPO Analysis

Determine the top cost categories and vendor. Analysis with construction to determine how we can reduce cost, total count, and right size the model estimates. Kolter Hosted

164

Purchasing – Options Review

Determine the take rates and revenue enhancements for all products. Have designers and purchasing work together to identify opportunities by category. Kolter Hosted

165

Quarterly Reports

166

Purchasing – Cost Comparison for any Plans

Compare plans across the company by category for cost reduction opportunities. Kolter Hosted

167

Purchasing/Design – Take off Margin with Alters

Determine the take rates and margins for any product option both structural and non-structural. Kolter Hosted

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Purchasing – Rebate Collections

Determine the closing volume for all rebates. Kolter Hosted

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As Required Reports

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Purchasing – Lot Unique Costs

Forecast the cost requirements of Lot Unique while right sizing the model estimates. The Project Director/VP can compare with lot unique to premiums for possible adjustments. Kolter Hosted

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Purchasing/Plan & Permitting – Plan Information

Current list of plans that are assigned to each community. Also, used for rebate collections. Kolter Hosted

172

Purchasing – Master Budget Change Form

Documents all budget changes and is processed via DocuSign to the Project Director/VP and VP of Construction. MS Excel Purchasing Common Drive

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Purchasing – Impact Fees

Documents all current fees for all locations and is used to update the model estimates. MS Excel Purchasing Common Drive

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PLANS & PERMITTING

175

Purchasing Reporting List

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Plans & Permitting – Lot Data Update

Permit tracking report from sale to construction start. Kolter Hosted / MS Access

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Plans & Permitting – AFC Form

Track and control all plans changes while insuring that all parties are communicated via DocuSign. MS Excel Architectural Common Drive

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Plans & Permitting – AFC Tracking Report

Tracks all ACF’s through each step of the process. MS Excel Architectural Common Drive

Collateral

Approval

CD’s

Costs

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Purchasing Policies and Procedures in Place

Currently we have 13 P&P’s in place across all departments for the entire company with others being created. Common>Drive Operations>Manuals In Process

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Finance: Purchasing

 Housebooks and 12 Month Model Cost Estimate

 Estimate base house costs for acquisitions

 New Lot Uniques

LU Database



LU Update Process



12 Month Model Cost Estimate

Housebooks

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Finance: Purchasing

Feasibility Report or Feasy

182

CONSTRUCTION

183

Construction Start Date

Color Selections

PASA or Spec Authorization Form

Purchasing

Permitting

• Permit Report has an inherent timeline that is projected/visited weekly to ensure the Construction Start Date is met. • The permit report tracks the main areas of focus from Signing of Contract/Spec Authorization Form to Construction Start Date. • It is critical that each Department (Closing, Design, Permitting, and Purchasing) meets all targeted dates.

Permit Report – How does it get to the Permit Report?

Design – Structural Options and Color Selections

Purchasing – Input in NewStar Enterprise and/or NS Sales (if Spec)

Closing - Input in CMS/NewStar Sales

PASA or Spec Authorization Form

Email Distribution

Architecture/ Permitting

BP Manager – Upload to BuildPro

All updates are done in BuildPro – will feed Permit Report

Permit Report – Critical Dates Three Examples in Detail

• Contract Date or Spec Authorization Form • PM Approval • Closing • BP Manager

Time Frame = 10 days

This took 23 days.

Permit Report – Critical Dates

Time Frame = 3 weeks (Alton)

• Start Authorization (i.e. Start Request) • Permitting

This took 7 weeks.

Permit Report – Critical Dates

Construction Date Goal: 6/8/16

• POs – POs must be issued 10 working days prior to Construction Start Date. • Permit Issued – Time varies for different municipalities. Plans must be uploaded to BuildPro at least 5 days prior to Construction Start Date.

Permit Report – Management of Starts and Completions

Each department is responsible for attendance. Each party shall bring up-to- date information to facilitate permit updates.

• Project Director – manage starts, HOLDS, specs, Design selections on HO timeframes • Design – Manage Structural Options and Color Selections • Architecture – Reviews Start Authorizations; Reviews Sign & Sealed Plans • Permitting – Collect Data (survey, Eng., Forms and Sign & Sealed) for permit submittal. Manage Permitting process. • Purchasing – Review Custom Options/Cost; Issue POs • Construction – Establish accurate construction start dates. Coordinate information from the permit report to Construction Managers and Trades. • BP Manager – Coordinate input data between all parties, i.e. HOLDs. Manage Construction Start Date changes.

Permit Report – Committed Closings

Each community needs to review timelines from Contract to Closing.

Once established, Committed/Estimated Closing Dates should be communicated by Sales in writing per Project Director

Permit Report Before/After

Color Selec Appt

Color Selec Approv

Color Selec PM Approv Survey

Permit Apply Goal

Permit Issued Goal

Start Date Goal

Scheduled Completion

Committed Closing

Start Requestn/a

n/a

n/a

Sign Seal

AC

Truss Eng

Permit Apply

Permit IssuedPO Final GoalPO Final Actual

PASA/ Spec Start Auth

Color Selec Appt

Color Selec Approv

Color Selec Appr'l

Permit Apply Goal

Permit Apply Actual

Permit Issued Goal

Permit Issued Actual

Const. Start Date

Scheduled Completion

Estimated Closing

S.O Appr'l

Start Auth

Survey

Sign Seal StartSign Seal End AC

Truss Eng

PO Final GoalPO Final Actual

Where is the Permit Report

191

Moves Report

Give accountability of the Construction Progress in a visual format.

A move is the completion of a Milestone(s) within the week based on the template.

Where Does the Information Come From? BuildPro Feeds NewStar

BuildPro Feeds NewStar

Week 2: all three Milestones must be complete to get 1 move

Stage

Lot

Move

Community Detail

Lot Notes

196

Verano Issue #1

Verano Issue #2

CMs holding on to units waiting to be turned over to Customer Service – Bob finished early (6/22/16 compared to Planned of 7/5/16) after the Holiday, he will still show an available move, therefore counting against the community

Verano Issue #3

Vendor Issues: Both homes are being delayed due to Roofing Vendor

CUSTOMER SERVICE

199

SPEC Home Turnover to Customer Service

• The Construction Manager arranges with a Customer Service Coordinator to schedule the Model/SPEC Home 1st and Final Walks.

• Once the Final Walk has been completed the Model/Spec Orientation Form is sent to Customer Service to file and the Customer Service SPEC Maintenance Log is updated.

• The lot is then updated in the Lot Data Update Microsoft Access report and the turnover date is input into the system.

• An email is generated notifying the proper departments that the home is now in the care of Customer Service.

200