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Costs of a Typical Commercial or
Industrial Building Project:
Listed
below are costs that an owner should consider when planning any new
building project. Depending on the type of contractual
relationship that is established not all of the costs will be
occurred.
1. Land costs
2. Legal fees
3. Insurance (Builders Risk)
4. Survey costs
5. Project financing costs
6. Government fees
7. Architect/Engineer fees
8. Various consultants' fees
9. All direct costs, including
site development and building construction
10. Contractor's costs. including
general conditions:
a.
Permits
b. Bond
Fees
c.
Insurance Fees
d.
Superintendent
e.
Project Manager
f.
Equipment
g.
Surveying
h.
Testing
i.
Temporary Utilities
j.
Temporary Offices
k.
Storage Trailer
l.
Travel to the jobsite
m.
Jobsite Safety
n. Clean
Up
11. Contingency for probable
scope changes
12. Furniture, furnishings and
equipment
13. Communication system; (phone
& computer)
14. Other costs depending on the
project type and location
Phases of a Design Build Project:
1. Preliminary Feasibility
a.
Market Study
b.
Environmental studies
c.
Economic analysis
d.
Budget limitations
e.
Availability of financing
2. Facility Investigation and
Development
a.
Existing facility study
b. New
facility and land needs
c.
Overall site analysis
d.
Building and fire zoning
e.
Building codes and ordinances
f.
Traffic ingress/egress study
g.
Utilities availability and cost
h.
Review feasibility budget (+/- 20%)
3. Schematic Design Study and
Budget
a.
Design check list
b. Land
survey
i. Utilities
ii. Grades
c. Soil
Borings
d. Site
development and land use study
e. Floor
plan study
f.
Elevation study
g.
Design concept study
h.
Structural studies
i.
Foundation, wall, mezzanine framing and roof framing studies
j.
Mechanical Studies
i. Interior & Exterior Plumbing
ii. Heating & Air Conditioning
k.
Electrical Studies
l.
Owner's Equipment
m.
Maximum value recommendations
n.
Artist's preliminary rendering
o.
Establish schematic budget (+/- 10%)
4. Design Finalization Stage
a. Site
development and plot plan
b. Floor
plans and schedules
c.
Elevation and architectural details
d.
Structural plans and calculations
e.
Mechanical plans by selected subcontractors
f.
Electrical plans by selected subcontractors
g.
Schedules for finishes and decorating from subcontractors
h.
Landscaping plan
i.
Artist's Rendering
j.
Confirmation of construction budget (+/- 5%)
5. Construction
a. Issue
contracts
b. Build
it
c.
Inspect and test
d. Clean
up
e. Final
punch list
6. Post Construction
a.
Evaluate and recommend
b.
Service problems and warranties
c.
Perform continuing consultation
Contractual
Relationships
Design Build Approach
Design Build allows the award of
one contract for design and construction (Turn-Key). Owner,
Architect/Engineer and Contractor work as a team to design and build
a project. Design Build helps in saving time over competitive
bidding.

Construction Manager
Approach
Managing activities over and
above normal architectural and engineering services conducted during
the pre-design, design and construction phases, that contribute to
the control of time and cost. The Construction Manager guides
you through and purchasing and contracting with sub-contractors.
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