BUILD OPERATE TRANSFER (BOT)

Shireman Construction Management is experienced in Indiana's newest delivery method for public projects, which is called build-operate-transfer (BOT). Through BOT, the local government selects a trusted builder/developer to partner with to create their project. The BOT Developer can manage the design, financing, and/or construction based on your needs. This method can allow for a turnkey project where Shireman, as your B.O.T. Developer, can take leadership of all aspects of the project. Contact us to learn how this new project delivery method for large-scale public projects can help make your project achievable.

There are advantages. Often, public projects require issuing bonds, which can involve a lot of Wall Street fees and capitalized interest. But on some government projects, such as Schools, Firehouses, and Police Stations, those bond issuance fees may not be efficient. BOT financing can be achieved by having Shireman partner with you to use your favorite local bank for the loan. This can save up to 5% of the project cost in fees, provide lower interest rates, and require less upfront capitalized interest expense. 

A significant benefit of BOT is that it offers a Guaranteed Maximum Price (GMP). This is the price for which the project will be designed and built. The local government will be able to budget more accurately. The final significant benefit of BOT is that you can hand-select the construction team. Often, you have key local subcontractors and suppliers that have provided your community with excellent volunteer work, maintenance and service for years, and you want to keep working with them in your new facility. Uniquely, in BOT, you can get down to the subcontractor and supplier level to prequalify bidders you want to work with while maintaining competitive bidding elsewhere. This results in more money staying in your local economy. BOT projects can also offer the least stress to local government officials as Shireman is your turnkey builder, managing or advising throughout the entire financing, design and construction process. Contact us if BOT is a good fit for your project.

• Using Shireman, your project will be delivered by a team that has completed similar projects and has BOT experience.
• This BOT process maximizes project quality and efficiency.
• The BOT documents, tailored by Shireman, can fit any project, and the BOT financing process is notably faster than traditional Bond financing. This speed advantage means your project can start and finish sooner, bringing your vision to reality in a shorter timeframe.
• A one-contract process secures all aspects of the project (design, financing, construction ), unlike the traditional Bonding process, which requires several contracts with several entities.