March 6, 2019

Limitations of Modular Construction

We have stressed the advantages of modular construction countless times. You already know that modular construction is an energy efficient, "green," and faster method when compared to the traditional way of constructing a building. It has been proved that modular construction is a fantastic route to take for almost every commercial and industrial construction project. But did you know that erecting modular structures involves a few limitations as well? Why are we telling you this? Because we believe in full disclosure so that our clients make fully informed decisions.

Limited Customization

It is true that modular structures are customizable as per your needs and expectations. But it is also true that there is a limit to how much customization can go into it. Although the prefabrication component kits can be custom-made for different projects, there’s a limitation to the design of each component. Only limited types of components are available for different projects. Hence, if you are looking for a highly personalized and customized project, modular construction may not be the right construction type for you.

Low Resale Value

Although there is a long list of advantages of modular structures, people still have different myths about this construction type. One such myth is that modular structures are of low quality and the quality will further deteriorate with time. Modern modular structures are revamping how these structures are commonly perceived, but it may take time for people to look at them as equal to traditionally-built structures. Hence, the resale value of modular structures is quite low currently as compared to a traditional building.

Land and Location Restriction

Although modular construction is growing in popularity, some local authorities may not allow you to build a modular structure. Because many local zoning boards are still catching up with this construction technique, you may come across some outdated zoning rules that may be a drain on the project or even prevent you from building a modular structure altogether. Luckily, there are no such restrictions in Canada. In fact, the members of the Canadian Manufactured Housing Institute created the Canadian Home Builders’ Association (CHBA) Modular Construction Council to support the increasing popularity of modular construction. But if you are planning to erect a building outside Canada, it is a good idea to confirm any restrictions before getting started.

Tricky Financing

Modular structures need to be paid for up-front or financed on an as-you-go or step-by-step basis. In many cases, you won't be able to get a traditional bank loan until you finish your project. This means that you will have to pay from your pocket until you get a loan. Some modular builders will provide loans at higher rates. If you can’t afford to pay on your own or get a loan at higher rates, financing your modular construction project can be difficult.

If you were already considering modular construction for your next project, don’t get confused after reading this article. Just talk to our modular structure fabricators, and we will work around these limitations so that you don’t face any problem during or after the modular construction project.

Ready to work together?

We offer new, used and custom made modular buildings in a wide range of sizes and styles. Our experienced sales staff will work closely with you to understand your unique requirements and your budget.