$32M UCLA Expansion Project Underway

LOS ANGELES, CA -McCarthy Building Cos. Inc. broke ground on a project at Olive View-UCLA Medical Center that will be delivered under a guaranteed maximum price agreement, the first such contract for the Los Angeles County Department of Public Works that the Newport Beach, CA-based contractor is aware of. The $32 million project encompasses replacement and expansion of the hospital’s emergency services and acute care units with construction of a single-story, 41,000-square-foot addition to the existing facility.

“We are increasingly seeing public entities explore alternative delivery methods, since they help to control costs while producing a higher quality project,” says Steven Mynsberge, executive vice president and healthcare business unit leader for McCarthy. “Under our contract, we’re helping keep the project on-budget by working with the county to keep costs low and ensuring that we won’t go over a set amount.”

As part of the GMP process, McCarthy provided the bids for each subcontractor so the county could verify that the company received competitive pricing, since subcontractor work makes up for approximately 80% of the total contract value.