Developing with Modular - Best Practices

Developers are increasingly using modular for multi-family, commercial and hospitality projects. From single-family build to rent (or flip) concepts to duplexes, townhomes, and large apartment buildings, modular is the most efficient and flexible method of building. You can see some of our available designs and one of our multi-family projects below.

"In 2020, the global market size for modular construction was $72.1 billion and was projected to grow to $114.7 billion in 2028."

It is incredible to see how far modular has come. Marriott International has the largest pipeline of hotels in the world and has been building almost exclusively with modular since 2014. Of particular note, one of their more recent projects, the 26 story AC Hotel New York NoMad, was erected in just 90 days.


According to the architect for the project, Danny Foster, "this hotel takes every advantage of off-site manufacturing, as you might expect. But it does so in a way that defies expectation. We wanted to demonstrate that modular building can do more than just harness the efficiencies of the factory. It can produce a graceful and iconic tower. And yes, it can do so at the rate of an entire floor a day."


Foster touches on some of the key elements that makes modular so attractive for any developer:


Build Faster

Modular can speed construction by up to 50% when compared to traditional methods. This means shorter construction loan terms, faster lease-up, faster flips, better ROI. McKinsey & Co. June 18, 2019


Fixed Pricing

In modular construction, material purchasing and pricing takes place at scale at the factory. Modular is the only building system that can provide developers planning and investment security with fixed prices.


Unlimited Design Potential

Modular is now capable of delivering design and aesthetics totally indistinguishable from conventionally built structures. It has been a common misconception that modular can only build drab, uninspired structures but those days are long gone.


If you're considering modular for your next development project we recommend to:


Always work with an experienced modular builder

Getting the most from modular requires experience. With Phoenix as your modular building partner you can expect:

  • Tailored services to work with developer teams and subcontractors to maximize efficiency and reduce costs.

  • Coordination of foundation design with module loads and requirements.

  • Reconfigure modules to accommodate challenging sites.

  • Handle complex logistics involved with module staging and sets.

  • Complete Turn-key construction service to expand developer capacity including: engineering, environmental, survey, permitting and code compliance, site and infrastructure requirements, module delivery, set, and finish.

  • 25 years of experience working with and vetting top manufacturers.


Design your project with modular from the very beginning

Many developers make the mistake of coming to us after the have finished designing the entire project. This is a mistake. While nearly any design can be modularized, for maximum value we recommend contacting us as early in the process as possible.


With an early start our team can optimize the modular design to:

  • Maximize in-factory production for your specific needs thus reducing site work and speeding up construction time.

  • Value engineer to reduce box count and help alleviate transportation and set costs.

  • Determine a cost effective and efficient mechanical, electrical, and plumbing (MEP) layout.

If you are considering a new development, let our knowledge of modular design, manufacturing and construction help you through the process. We work on any size project and can manage land development in all phases from permitting, project design, construction, and project management.


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