Modular-Office
VS. Stick Built
- Relocate and reuse the modular room.
The number one reason for buying Modular-Office.com is the ability to take the
building down and relocate it. This feature benefits the small firm that
leases because the modular rooms always remain their asset, when it is time
to move, the modular rooms can go with them. This feature also benefits the
larger company. Should their needs change and the modular room would be
better suited elsewhere then it can be moved and they never lose their
original investment.
- Redesign to adapt to new requirements.
Companies grow, needs change and so can the modular room. Whether you need
more space or need to change your current modular room configuration your
not locked into your original design. All panels are interchangeable and can
be assembled to fit any current need. The non-progressive post design
provides the ability to swap or replace individual panels without disturbing
adjacent panels. For example, if a solid wall panel now requires a door it
can be switched out for a door panel in a matter of minutes.
- Stronger construction
that's suited for an industrial environment. Many rooms today are built
using drywall and studs, leaving unsupported cavities that can be punctured
easily. National's modular rooms use much stronger materials and utilize an
important design feature, fully supported wall substrates using either
insulated polystyrene or honeycomb cores, this gives the walls true impact
resistance for long useful life. In addition the availability of steel
facings adds even more strength.
- Better sound deadening
than conventional rooms, to create a comfortable work area even in the
loudest manufacturing plants. installing an industrial modular room is more
than just putting up walls, it involves utilizing a system that will meet
the specific requirements of the plant. One of the most important
requirements is sound control, without the proper sound control a room could
be rendered useless. National has sound controlled modular rooms that
are acoustically designed to out perform any typical conventional
construction. The more extreme the noise the more Modular-Office products are
better qualified. National can design a structure for any sound problem.
- Faster Occupancy
so you can get back to business. The standard small modular room is
assembled and ready to move in, in one day, with conventional construction
that time can be weeks. Weeks of sub contractors and inspections can put any
company behind schedule and this can translate directly into money lost. The
faster you are back to normal the faster you get back to business.
- Fewer plant disruptions
that can cause expensive loss of productivity. All construction even modular
causes plant disruption, however the longer it takes to complete a project
the more disruption you get. A serious evaluation of costs would include
this often over looked expense, most people are amazed how fast these costs
add up. For an estimate, multiply the number of people in the area of
construction by just 10 minutes of distractions, then multiply that by the
number of days it takes to complete the project, from this you can determine
the number of hours lost, now multiply this by the average cost per labor
hour. The loss of productivity is real and expensive.
- Less mess
to contend with means lower cost. Sealing off areas, and detailed cleaning
of equipment all can be expensive for the average industry, but if a company
is involved in food processing or clean environments the costs to shut down
and handle this are enormous.
- No engineering or architectural fees
to design your buildings, another cost savings. Our design service is
included with our package. Each job gets detailed drawings and a complete
bill of materials. The product is pre-engineered and can
meet any building code. At most you may be
required to have an engineer or architect review and seal our drawings this
is much less expensive than if he started from scratch.
- Permits are not always needed.
Small modular rooms within a plant can usually be assembled without permit .
This is never the case with conventional construction, it always requires a
permit and can tie up a project for weeks. (consult your local building
department)
- Quality.
National's product is quality inspected before it ships and is manufactured
to exact standards. The finished product is never questionable, a clear
point that conventional construction can not make. How good is conventional
construction? It depends on the work crew. The truth is that most
construction, if not closely watched can turn into a disaster. A buyer must
always be on the watch for shortcuts and sub standard work, this is never
the case with National and the proof of the quality is in the
warranty. National
warrants their modular rooms for 10 years.
- National always costs less than
conventional. Compare any project fairly, each
room is to have identical specifications and each is to perform to the same
requirements and National will
always cost less. Add to this the other benefits
previously listed and the much faster depreciation allowed for modular
construction (as illustrated below) and you will see why the popularity of
National's buildings has grown tremendously and why many companies are so
convinced that they no longer consider conventional construction for their
in-plant needs.
CONSTRUCTION DEPRECIATION
On our request National's accounting firm Grant Thorton®
rendered an opinion of the wall systems with regards to depreciation and its
classification. In general, by definition (which has remained consistent over
the years), the product is considered equipment and depreciates accordingly.
Thus allowing a company to completely write off the expenditure over 5
times faster than typical construction.
How does this advantage effect the cost?
With current tax laws, the bottom line is that
conventional construction's initial cost would need to be over
32% less to match the tax advantages of
National product. The following breakdown illustrates this and lists the
assumptions.
Assumptions
- Maximum corporate tax is 39.6%
- National product qualifies for 7 year
depreciation, yearly write off is 14.3% (1/7 project cost)
- Construction depreciation is 39 years, yearly write off
is 2.6% (1/39)
- After seven years National building is completely
written off, and only 17.9% of conventional is written off.
- Using the above tax (39.6%) to determine a projects
true cost, National returns 39.6% in tax savings to the company where
conventional returns only 7.6% (17.9% x 39.6%) in the first seven years.
(100% - 39.6%) = 60.4% modular cost = 92.4% conventional cost x Y (Y being
the cost difference)
- Y = .604 - Conclusion,
National has a 32% price advantage (1
- .604 = .39.6).
*As a foot note, many situations can cause other
rulings to apply, Grant Thorton ® does recommend companies discuss the matter
with their CPA's to determine if their particular situation would qualify for
this depreciation
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Modular-Office.com 888.823.7274
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