RIBA PART 3

EXAMINATION IN PROFESSIONAL PRACTICE

September 2012
Practice Problems

Day 1

Questions 1-5

1
SCENARIO

The name NDG Architects Ltd is listed in the current RIBA Directory of UK Chartered
Practices.

Established in 1998 the company has a wide range of design and development experience
across a number of private and public sector areas including commercial, retail, industrial,
education and health care. The practice has also seen a recent increase in enquiries for
care homes. In addition the company has received a number of design awards including
the 2011 Pritzer prize for their zero energy school building in Barry.

Exclusively based in the North West of England, NDG Architect’s office is located in a
converted mill building in Central Madchester

Given however the continued difficult trading environment the directors met with the staff
in November last to discuss the way ahead. A number of options for expenditure
reductions were discussed including short time working. By a majority vote at that meeting
it was agreed that, for a twelve month period commencing January 2012, director’s
remuneration would be reduced by 20% and staff pay by 10%.

Since then there has been some improvement in the workload but the situation still
remains fragile and it is important that enquiries become firm commissions as far as is
possible.

As a candidate for the September 2012 examination you are required to assume that you
are a salaried employee of NDG architects and have been engaged at this practice for a
period of 20 months whilst you are preparing to sit the Part 3 examination.

Company’s House records show that NDG Architects Ltd has two directors and two
associate directors.

James Noble architect and MD of the company is largely responsible for practice
management and contractual issues.

Belinda Carter architect and director. Her supplementary role within the company is to
maintain the marketing operations, which prior to 2011 had generated significant new multi
million pound commissions for blue chip clients.

Michael Hart AABC associate director, an architect accredited in building conservation

and recently listed on the Diocese schedule of approved architects. His reputation in this
field has previously resulted in the practice being commissioned to carry out larger
conservation projects attracting lottery funding. Michael is also listed as a Client Design
Advisor on the RIBA’s CDA register.

Sue Allen, architect and associate director is an accredited sustainability expert and is
currently undertaking a part time MSc course in Advanced Sustainability at the University
of Madchester. Sue also acts as the company’s quality manager, responsible for the
ongoing development and maintenance of the quality assurance system and manual .

2
Certain significant projects currently and previously handled by the office:

Serve it Right - New Office Development

Construction works are nearing completion on this office development in Madchester.
NDG Architects are providing full architectural services for the project and are named as
the architect in the articles of agreement. The form of agreement is the JCT Standard
Building Contract with Quantities 2011 edition (SBC/Q).

Kings Lane Development

This was a mixed use development completed three years ago. The contractor has been
a victim of the recession and is no longer trading. The development itself however has
been quite successful with all units both residential and retail being occupied within six
months of completion

Thelwall Grange Nursing Home

There has been an initial enquiry to develop and extend the existing nursing home and the
practice is hopeful that they will be appointed for the commission.

Hotel Development at Liverpond

The practice has been engaged to compile tender documentation and obtain planning
permission, and to be the named Architect under a future formalised Contract, working for
a Property Developer, (“PDL”), who as Employer, wishes the construction of Hotel
Development at Docklands Road, Liverpond, (“the Project”). The Employer is keen to
make a start on site as soon as possible.

Comfy Cottages
A company, for whom the practice has worked in the past, is considering a development of
25-30 units. Sue Allen is currently in discussion with the Comfy Cottages over this
commission.

Potential new Housing Development for Iffy Developments.

This is a potential new client who is proposing to develop the former bus depot site to
provide 25No. new houses. The practice are anxious to work with this developer as it
could lead to a number of new commissions in the future.

Potential new care home for Ova Developments

A potential care home development with Ova Developments with approximate value of
£1.5M nett construction cost. Feasibility sketch schemes have been undertaken, with a
view of Ova Developments selling the site once planning permission is secured. NDG are
currently preparing drawings for a planning application. The procurement method is
currently unknown.

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Staff and salaries/director remuneration (reduced 2012 annual figures)

James T. Noble Director £ 52,000.00

Belinda C. Carter Director £ 52,000.00
Michael Hart Associate Director £ 36,000.00
Sue Allen Associate Director £ 36,000.00
Dareem Patel Architect £ 33,000.00
Sven Berg Architect £ 33,000.00
Tomas Hjeltnes Architect £ 31,000.00
Renata Wang Architect £ 31,000.00
George Gee Architectural Technologist £ 27,000.00
Candidate Architectural Assistant £ 23,000.00
Olga Poulicek Architectural Assistant £ 23,000.00
Mark Jones Architectural Technician £ 21,000.00
Liv Grosfjelt Year out student £ 14,000.00
Sara Smitt Year out student £ 14,000.00
Sarah Jane Key Administrative assistant
Sophie Bright Receptionist/ Clerical assistant
Jane Dudley Clerical assistant
Anne Holding Accounts assistant

NB All of the characters, locations and projects of the scenario and the practice problems
are entirely fictitious and any similarity or resemblance to persons, places, projects or
practices is totally coincidental.

End

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QUESTION 1
Page 1 of 1

ndg architects ltd

Interoffice memo
Date: 5th September 2012

To: Candidate

Cc:

From: Sven Berg

Re: Conduct of a fellow architect (PC1)

I met Jack Deladio from Gerdemup Design Associates Ltd down at the club. He seemed
quite buoyant but was quite scathing of how most architects are just lying in the road
waiting to be run over by the current economic catastrophe.

He told me that he now operates as a Developer Contractor Architect alongside a timber

frame manufacturer who has agreed that all their design services will come from Jack,
provided Jack promotes their products. He showed me his highly glossy brochure with
some illustrations of amazing ‘footballer style’ houses, with the RIBA and ARB crest on the
top and headed as an RIBA Chartered Practice, he also has his details within the Timber
frame company brochure.

He tells me that having cornered this particular niche in the market and he has introduced
his own scale of fees and services, charging 15% for design services for a typical £1m
house, the details of which are part of the standard construction package.

I must admit I was impressed at his get up and go attitude, but was worried that he might
be at risk of breaching the Codes of Conduct in some respect. I haven’t looked at these for
a while and realise that ARB revised theirs last year, and RIBA updated theirs some short
time ago, plus I’m aware there is the issue of Chartered Practice criteria. I think he may
have had a couple more drinks than he should at the time and has, without realising it, put
me into a difficult position, it may be that I am required to report his activities.

Could you set out an executive appraisal of the codes requirements and criteria for his and
my conduct, and draw attention to whether he is operating within them.

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QUESTION 2
Page 1 of 2

ndg architects ltd

Interoffice memo
Date: 5th September 2012

To: Candidate

Cc:

From: James Noble

Re: King’s Lane Mixed Use Development (PC2)

I don’t like the look of this one – see attached letter!

I will need to go through the files as a matter of urgency but as I am away for the next few
days it would be really helpful if you could put together a list of action points and
information that we will need to get from the files in order to assess our position.

If you could also note your reasoning for listing these actions and information it will help
me to develop our case as necessary.

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QUESTION 2
Page 2 of 2

Robbin Yew Blind Solicitors

Litigation House
High Street
Madchester
MD4 6LQ

NDG Architects
Wharf Mill
Paccadilly
Madchester
MAD PPA

3rd September 2012

Dear Sirs

RE: KINGS LANE DEVELOPMENT

We are acting on behalf of our clients Mr and Mrs Hearing who have recently moved into
one of the flats on Kings Lane for which we understand that you were the architects.

Within days of moving into the property Mr and Mrs Hearing were dismayed to note the
lack of sound insulation between both themselves and the neighbouring property and
indeed the retail unit below.

They have contacted the developer who has not been forthcoming except to advise them
that collateral warranties were in place and should cover them for any remedial work that is
required.

Mr and Mrs Hearing attempted to contact the contractor only to discovery that they were no
longer in business, they have therefore appointed ourselves to pursue this matter.

We must therefore request that you provide us with a copy of the collateral warranty and
your P.I. Insurance in advance of a meeting which we propose should take place at our
office on Thursday 20th September in order to resolve the situation.

Yours faithfully,

Sue Yew (Ms)

Solicitor

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QUESTION 3
Page 1 of 2

ndg architects ltd

Interoffice memo
Date: 5th September 2012

To: Candidate

Cc:

From: Belinda Carter

Re: Residential home at Thelwall Grange, Waddington (PC3)

I have just been sent some photographs of a care home in Waddington from Ann Carer.
Apparently the parent company has gone into administration and is looking to sell off the
properties. She has been working as a manager at a care home for the past twenty years
and as her husband has just been made redundant they felt that this was as good a time
as any to embark on a new project. They have had a brief look at the nursing home and
are interested in taking it on but after discussions with their accountant say that it would
only be really viable if they could extend the property to accommodate another 20
residents.

Whilst she has plenty of experience in the care home sector she has no knowledge of the
process she will have to undertake to realise her dream.

All they want at this stage is an indication of whether it is likely to be viable but to be
honest I think in addition we should be guiding her through the planning process.

Could you write a letter explaining your thoughts on the viability of the project and
explaining, if you think it is a possibility, the steps that will need to be taken next – don’t
worry about fees etc I’ll deal with that.

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QUESTION 3
Page 2 of 2

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QUESTION 4
Page 1 of 1

ndg architects ltd

Interoffice memo
Date: 5th September 2012

To: Candidate

Cc:

From: Belinda Carter

Re: Potential New Housing Project on former Bus Depot Site. (PC4)

Good news! I have just received an email from Iffy Developments Ltd, with whom I met
last week. I am very excited about this project. It’s a potential new client and as I am sure
you are aware, things are tight at the moment in relation to cash flow and the practice
needs to expand its client base.

They want us to provide them with a fee quotation for a full service (A-L) to develop the
former bus depot site to provide approximately 25no. new build houses. They have
confirmed that their budget is £2.14m and I have been told that we are bidding against
another practice who the client has used before. We have to be competitive in our fees -
we need this job!

Could you please put together a memo giving an outline of the initial process that we
should go through and the areas that need to be considered when putting together the fee
bid. In addition to the fee calculation, please provide a programme showing the staff
resources needed at each stage. As stated earlier, we do want this job and would
appreciate your suggestions as to how we might make this fee proposal as competitive as
possible.

Also, please produce a detailed draft fee letter highlighting all the usual relevant issues
that should be brought to the attention of the client.

For the purposes of your resource calculations you can assume staffing rates at salary
plus overheads (100%) plus profit (20%). And, don’t forget to add employers NI.

Finally, one negative issue that raised alarm bells is that the developer has asked whether
we would complete the planning stage for cash. Obviously we have declined, but as you
are completing your Part 3 I thought it would useful for you to explore the implications of
accepting a cash job. As a practice, what checks do you think we should carry-out prior to
accepting an appointment from a new client.

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QUESTION 5
Page 1 of 2

ndg architects ltd

Interoffice memo
Date: 14th March 2012

To: Candidate

Cc:

From: Belinda Carter

Re: Hotel Development at Liverpond (PC5)

I have received an e-mail from ‘Inn Adequate’ with a copy of a Letter of Intent that he
proposes to issue to the lowest tenderer – he has asked us to cast an eye over it to ensure
that it is OK.

I have copied extracts from the letter, which is attached, and a number of issues
immediately spring to mind, could you have a look at it and comment on the following:

a. do you think we should suggest any changes to the letter in order to protect the
Employer from the risk of entering into a Contract rather than just signifying an intent, and
if so what changes to the letter would you recommend and why?

b. if the Contractor does not sign and return the letter of intent but the Employer lets him
start on site in any event can the Employer rely upon the Letter of Intent?

c. what advice should we give the Employer regarding his liabilities to make payment to
the Contractor in the event of the works not proceeding, after the Contractor’s
commencement of procurement of certain design, labour, plant, and materials as
necessary?

d. is the “letter of intent” an acceptance of an offer?

e. would the Contractor be liable for delays if he did not undertake any activity following
receipt of this letter?

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QUESTION 5
Page 2 of 2

EXTRACT FROM LETTER OF INTENT

Buildwell (UK) Ltd

Liverpond
L9 7YY

Re: LETTER OF INTENT for Hotel Development at Docklands Road, Liverpond

Dear Sirs,

Proposed Contract Value - £ 2.9m (excl VAT charges)

Further to your tender submission and subsequent negotiation, we hereby signify our
intention to enter into a contractual arrangement with your company for the construction
of a 26 bed hotel development to be located at Docklands Road, Liverpond.

Please accept this letter as authority to carry out preparatory works; commence
procurement of all design, labour, plant, and materials as necessary (up to the value of
£50k), in order to meet the proposed construction programme.  

Your appointment as Contractor is based on the following:-

 Contract is a Design & Build Agreement– JCT D & B Suite 2011;

 Damages for non completion and defects liability period as per the Tender Conditions;

 The Contract is agreed as a Lump Sum fixed price is based on the drawings and
specification within your tender and subsequent negotiation;

 Commencement will be within one week of this letter of Intent and Completion within
42 weeks; and

 Payment Terms are to be monthly……….”

“ …… A condition of your acceptance of this letter is that you must sign and date the
bottom of this letter and sending a copy to us by return.

Yours faithfully ……….”

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 END OF DAY ONE

Please ensure that you hand a copy of your draft answers

to your exam supervisor by 5.30pm

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