7 Mistakes Clubs Make Before Starting a Redevelopment
The most expensive mistakes in club redevelopments do not happen on the construction site. They happen in the boardroom — months or years before a builder is appointed.
After advising clubs on redevelopment projects across NSW, these are the seven mistakes we see most often.
1. Hiring an Architect Before Understanding the Budget
This is the single most common mistake. A board commissions an architect to design their dream venue, falls in love with the concept, presents it to members — and then discovers it costs twice what the club can afford.
The fix: Commission an independent feasibility study before engaging an architect. Understand your realistic budget, staging constraints, and funding capacity first. Then brief the architect within those parameters.
2. Not Planning for Staged Construction
Clubs cannot simply close their doors during a two-year build. Gaming, dining, and entertainment must continue. But staging adds significant cost and complexity — often 15-25% above the base construction cost.
The fix: Include staging as a core requirement from the earliest feasibility stage. Your architect and builder need to design around your operational needs, not the other way around.
3. Underestimating the Impact on Revenue
Construction disruption reduces foot traffic, limits gaming floor capacity, and affects food and beverage revenue. Many clubs fail to model this impact, leading to cash flow pressure during the build.
The fix: Model revenue impact alongside construction costs. Build a financial buffer for reduced trading during construction, and plan staging to protect your highest-revenue areas for as long as possible.
4. Accepting the Lowest Tender
Club boards often feel pressure to demonstrate fiscal responsibility by accepting the cheapest builder. But in club construction, the lowest bid frequently leads to the most expensive outcome — through variations, delays, and quality compromises.
The fix: Evaluate tenders on capability, methodology, relevant experience, and risk allocation — not just price. A structured tender evaluation report gives the board confidence to approve the right appointment, not just the cheapest one.
5. Relying on the Builder for Independent Advice
Builders are not independent advisors. Their project managers work for the construction company, not the club. Relying on the builder for cost advice, program assessment, or quality verification creates a fundamental conflict of interest.
The fix: Engage an independent client-side advisor who reports directly to the board. Their job is to review the builder's recommendations through the lens of the club's best interests.
6. Inadequate Member Communication
Redevelopments affect every member. Noise, disruption, reduced amenity, and changed access patterns create frustration. Without proactive communication, this frustration becomes political pressure on the board.
The fix: Develop a member communication plan before construction starts. Regular updates, clear timelines, and honest acknowledgement of disruption build trust and reduce complaints.
7. No Independent Board Reporting During Construction
Construction moves fast. Without structured, independent progress reports, the board only discovers problems after they have become expensive. Monthly builder reports are written from the builder's perspective — they are not independent governance tools.
The fix: Require independent monthly reports covering cost, program, quality, and risk. These reports should be written by someone whose only job is to protect the club's interests.
The Common Thread
Every one of these mistakes stems from the same root cause: the absence of independent advice at the board level.
Architects design to a brief. Builders construct for profit. Quantity surveyors manage risk conservatively. None of these perspectives are wrong — but none are solely focused on the club's best interests.
An independent client-side advisor fills this gap. If your club is considering a redevelopment, the time to engage one is now — before the first architect is appointed, not after the first variation arrives.
UpScale Project Management provides independent advisory for club redevelopments across NSW. Book a free consultation to discuss your club's project.