Sunday, March 31, 2013

Building Cheap Homes Using BSB



30 Story Hotel in 15 days

Building Cheap Homes Using BSB
(Broad Sustainable Building)


Building cheap apartments from 300 to 700 sq. ft. of 20 to 30 stories.


Using the BSB system, a building can be constructed in less than 20 to 60 days. It will be cheaper and much faster than using the traditional ways. It is also more ecological, less labor intensive and less wastage.



A 400 sq.ft. studio home in the city can be sold for RM120,000. Monthly instalment will be about RM500 for a loan of RM100,000, making it cheaper to buy than rent. It is ideal for single/double or family of three.


It can solve the severe shortage of cheap housing for the lower income group. It will also be more profitable if we can complete a project in 3 months instead of 3 to 5 years.


Best of all it can enable almost everyone to afford a home of their own.


Why are houses so expensive in Penang 
and in other cities?


The main reason is that it can take 3 to 5 years to complete a high rise building project under the traditional way. Thereby incurring a huge labor, interest and other expenses.


A 50% margin on a 5 years project will mean only 10% simple annual return. To make a profit, most developers choose to build only high end high margin housing. Causing a severe shortage for affordable home for the lower and middle income group. By employing the super fast BSB system, we only need to make a slim margin to earn a reasonable return on investment as we can complete a project in 4 months or less. A 20% margin in 4 months means an annual return of 60%!


For a 30 story residential building, land cost is quite insignificant. For land costing RM200 per sq ft, it will add only about RM15 or less to the cost of homes, less than 10% of the selling price. Affordable homes can even be built on land costing RM500 per sq ft or more.


We should be able to sell a 400 sq ft studio home for less than RM120,000 even without any subsidies. Tens of thousands of homes can be built in 6 to 12 months, solving the severe shortage of affordable homes in almost no time. 

Advantages:

  • Maximizing salable space by minimizing common area and facility
  • Utility rather than aesthetic design to maximize net saleable area
  • Employing BSB will save about 30% cost
  • Speed = fatter margin over time, also lower interest cost
  • Lower marketing cost if we sell below market price
  • More revenue by providing renovation service
  • Factor in S&P and legal fee to lessen final price and save paperwork and time


A way to prevent non or late payment of maintenance fee is to waive it altogether. We can collect a monthly fee for parking of cars and bike and security entry pass. That should be enough to pay for the maintenance of the building. Example RM60 for car, RM20 for motorbike and RM10 for 2 entry passes per month.






A 200+ sq ft apartment design





Mosquito Larvae Xterminator


Mosquito Larvae Xterminator - MLX


Mosquito borne diseases kill over one million and debilitate tens of millions people every year. Mosquito netting is ineffective when one is out of the bed.

Mosquito can only breed in water, killing the larvaes before they hatch maybe the best way to control the situation. I have an idea for a gadget that might just do that.

The device will be filled with water and placed in mosquito infested area. A timer will activate a mini motored activated net to “catch” any larvaes every 3 days, thereby depriving them of water and killing them before they have a chance to become full grown mosquitoes. They can be hanged on trees, lamp posts or wall.

If at a given area where there are 10 potential mosquito spawning spots, and 30 MLXs are being deployed, they can reduced the mosquito population by 75%. And mosquito borne diseases thereby should decrease by 75%. Thousands of lives and millions of dollars can be saved every year with this cheap to make device.

I hope by posting this here someone will design and build MLX. I do not want to patent and profit from commercializing this idea. I will be very happy if this idea end up saving thousands of lives and livelihoods.


MLX- the net (green) will swipe from one end to the other once every 3 days,
trapping and killing them before they have a chance to become mosquitoes.

Better Health Care System?


Better Health Care System?

Health care quality and cost are one of the biggest issues plaguing the world today, threatening to overwhelm consumers and government budgets everywhere and is growing worse year after year.

The root of healthcare inflation is the current health insurance system. Why?

  • Hospital and medical providers are prone to prescribe unnecessary and expensive visits, tests, operations, medications and hospitalizations so as to maximise profit and avoid litigation.
  • Price gouging and fraud are very widespread under the present system.
  • Insured patients will also likely to opted for ever more visits/tests/operation/medication/hospitalization since insurance will pay for them. Many of the procedures are unnecessary or even detrimental to their health.
  • Health insurance companies have to increase premium year after year to cover ever increasing medical expenditure and to make a decent profit.
  • Many in the lower income group are being left out the the system since the cost is beyond their ability to pay.

This is a vicious cycle resulting in ever higher health care cost, straining the capacity of health care providers and will ultimately bring the economy to its knees if something is not being done soon.

The average annual insurance rate has reach $5,600 for single coverage and $15,700 for family coverage in USA in 2012. The average household income is $46,000, which means one third will be spend on medical insurance alone. And the lowest 15% earned only $23,000. They will have nothing left after paying for medical insurance and rental. Soon more than 30% of American may not be able to afford medical insurance at all if the situation continues from about 18% now.

(Reuters) - The cost of healthcare services is expected to rise 7.5 percent in 2013, more than three times the projected rates for inflation and GDP growth.

*******************

Hospital Membership Scheme

My idea, HMS, maybe able to cut the cost healthcare in half or even more, improve the health care quality and well being of all if implemented.

Consumers will buy medical coverage, HMS, directly from hospitals and cut out the insurance companies altogether.

Premium will depend on age, condition and lifestyle of individual but at a much lower rate since the middle men’s markup and administration expenses will be eliminated.


  • Hospitals will have no incentive to prescribe unnecessary procedures since they will have to pay for them.
  • Consumers will be encouraged to live a healthier lifestyle since it can lower their premium. (A non smoking, non-obese person who exercise regularly will enjoy lower premium.)
  • Doctors will focus on prevention rather than cure.
  • A healthier customer will incur lower cost, therefore hospitals will be incentivised to advise them to lead a healthier lifestyle.
  • Doctors would be paid a fixed salary commensurate with their qualifications and on profit sharing basis to discourage wastage.
  • Members who incur lower fees than their premium will enjoy a rebate for the next payment, further discouraging wastage.
  • Much lower administration cost for hospitals since they do not have to claim disbursement from insurance companies.
  • All this will free up capacity in hospitals which means they can provide better care for patients who really need them and for more members.
  • Customers who donate their blood or organ should enjoy lower premium, this will increase the number of donors tremendously.
  • Most importantly, hospitals will profit from a healthier rather than a sicker customer. Hospital can hold wellness workshops to teach healthier lifestyle to its members.
  • Disputes should be settled by arbitration instead of lawsuit, which is cheaper and faster for both parties.
  • Governments can also save cost by giving vouchers to the needies to buy HMS.

We should save 30 to 50% just by cutting out insurance (sales commission alone is 15 to 25%) and another 30 to 40% from unneeded procedures and admin cost. Total savings can be up to 60 to 80%! And quality of medical care will improve since hospital will have more capacity when unneeded procedures are eliminated.

Hospitals will also have to compete with other hospitals by providing lower premium and better quality care to attract memberships. They can also form alliances so customers can have a choice of hospitals.

The present system is untenable and will wreck the economy if not fixed. HMS maybe the solution. I hope this will start a debate and be improved.


Simon Teh
ekazaam@gmail.com