CPCCBC4004A: Project Cost Estimation in Building & Construction

This report provides a comprehensive overview of cost estimation in building and construction projects, addressing key aspects such as project plans, specifications, equipment, and unit costs. It details the types of project plans and specifications that can be read and interpreted, the plant and equipment that may be estimated and costed, and the unit costs applied to projected costs. The report also outlines the breakdown of costs included in completed estimated project costs, considerations for calculating the net cost of a construction project, methods for determining material quantities, and specialists to consider during cost estimation. Furthermore, it lists the steps involved in preparing an estimate, relevant documents and legislations, defines the bill of quantity, and provides a list of materials and physical resources required at a building site, including methods for determining labor requirements and estimating costs. The report also includes a residential house rating template as a cost plan report example.

Running head: BUILDING AND CONSTRUCTION PROJECT COSTS 1
Identify and Produce Estimated Costs for Building and Construction Projects
Student Name
Institutional Affiliation
Assessment Task 1
1. What types of project plans and specifications may be read and interpreted?
There are different types as well as specifications for the project and these are mainly discussed as follows
Project plan is defined as the overall systematic analysis and specifications of the activities to be carried in

BUILDING AND CONSTRUCTION PROJECT COSTS 2
a project. The various types of the project plans include
i. Strategic project plan- it mainly entails all the aspects and analysis which are conducted with an
objective of establishing all the mechanisms and strategies in a project.
ii. Evaluation project plan- mainly defined as the project planning which can be used to appraise
whether or not the set objective have been achieved
iii. Operational project planning- gives all the activities to be carried out or the tasks performed in line
with the project.
iv. Financial planning- typically deals with all the costs and funding sources for the project. It also
entails the costs estimated to the building and construction as well as the overall implementation
activities.
Projection specification is defined as a detailed analysis on how the project outline will look like and it
contains the objectives as well as the various functions which will be carried out in a project. (Ma, Liu &
Wei, 2016). Some of the common elements which the project specification consist of include
i. Introduction which gives the overall project description
ii. Project objectives to be achieved at the end
iii. Project scope
iv. Site users as well as their role and responsibilities
v. Capacity requirement as far as the user role is concerned
vi. Design specifications and the overall outlook
vii. Flow and logistic diagram for all the analysis including the applications and the checkouts.
viii. Success criteria mainly entails checking whether or not the site for the overall job is working in
line with the specifications
ix. Site map giving all the details in line with the project and the site exploration
x. Content plan which gives the appraisal on which type of the content to applied at each stage
xi. Makeable work schedule
xii. Financial managements and constraints in the projects
xiii. Quality management
xiv. Channel of communication in the project
xv. Overall resource management
xvi. Management changes in the projects
xvii. Overall site maintenance requirements

BUILDING AND CONSTRUCTION PROJECT COSTS 3
2. What types of plant and equipment may be estimated and costed for a building/construction project?
There are different equipment and plants in the construction projects whose costs can be estimated
decisively. The different plant and equipment used in the construction broadly classified into two categories
and these include the specific as well as the general equipments
Specific Equipment
i. Tractors: they are primarily designed and used for the construction to carry out haul, loading as
well as in dumping of loose materials.
ii. Scrapers: used for the overall heavy pulling and pushing more so during the compaction process
iii. Front shovels
iv. Loaders essentially utilized to perform activities such as transportation of materials, backfilling,
excavate the earth as well as to perform the hauling unit related tasks.
v. Compactors used in performing all the related soil compaction activities
General Equipment includes the air compressors, the cranes as well as pumps and forklifts. This equipment
mainly classified and provided by the subcontractor.

BUILDING AND CONSTRUCTION PROJECT COSTS 4
3. What unit costs may be determined and applied to estimated projected costs?
There are various rates utilized in developing and determining the overall estimated costs in the project.
The elements used determine the costs and the overall project estimations include
i. Labour rates: it is defined in terms of the costs paid each craftsman per hour in line with the
operations they perform in the project.
ii. Material prices involve also the costs related to the purchasing of various materials to be used in
the construction exercise.
iii. Equipment Cost: all the amounts estimated in line with the purchasing and hiring for the
construction equipment.
iv. Subcontractor quotes refers to the costs which the individual offers in the construction and may
involve both the general and specific equipment costs as well.
v. Indirect cost: entails all the costs such as the fees, the permits, administration costs, mobilization,
temporary construction and staffing
vi. Also the profit amount is fundamental cost rate to be considered in the analysis
4. What breakdown of costs may be included in completed estimated project costs?
First and foremost, it is important to note that the breakdown cost is an essential element when sourcing
and soliciting for the funds to be used in the construction process. In essence, it used to appraise whether or
not the stipulated cost proposed is realistic and achievable in the long run. Some of the costs include in the
breakdown costs include travelling, equipment as well as asset costs.
5. What is meant by cost estimation and under what circumstances would you estimate the cost?
The cost estimation refers to the overall project capital required to implement the proposed idea or used in
the construction of the building. In essence, cost estimation is an imperative element in the cost estimating
analysis. The project mainly estimated in terms of the cost when the overall analysis on the project is more
than half. Under that circumstance, one can estimate the overall project cost by double the existing cost
established.
6. What consideration must you take into account when calculating the net cost of a construction project?

BUILDING AND CONSTRUCTION PROJECT COSTS 5
The following are some of the considerations which one need to consider when designing and coming up
with the overall net cost for the makeable construction
i. .Quantity take off
ii. Material Costs
iii. Labor Costs
iv. Labor productivity and forecasts
v. Work Methods.
vi. Construction and equipment costs
vii. Indirect costs in line with jobs
viii. Subcontractor quotations
ix. Quotations for the various material to be supplied
x. Estimated unknown site cost
xi. Location Factors
xii. Escalations costs arising with time
xiii. Staging as well as project start up costs.
xiv. Overheads

BUILDING AND CONSTRUCTION PROJECT COSTS 6
7. How will you determine the quantity of the materials required for a construction project? On what
basis will you determine the material requirements?
Quality of materials to be used for the construction process is an essential and fundamental portion of the
project construction and thus, need to be taken into consideration. (Brook, 2016). There are various
criteria which are often used to determine the material quality and requirements in the construction process
and these are mainly discussed as follows
i. Material delivery process which is broadly classified as bulk, fabricated as well as standard off-
the-shelf materials
ii. Durability of the material is also an essential aspect to consider as this define the storage duration
iii. Material purchasing term is also an important element as this is used to define the interest charges
associated with materials
iv. Site location is also an important aspect and this determines the specifications of the materials to
be used in the construction process.
v. Material dimension is also an essential aspect which must be explored and appraised accordingly
as it defines the transportation mode for the materials to be used and the quality.
vi. Labor and handling is also a viable aspect which needs to be considered as far as the material
quality of materials is concerned.
8. List the specialists you may need to consider while preparing cost estimation.
The following are some of the experts which may be required while designing and preparing the cost
estimation budget
i. Commissioning provider to perform all the tasks related to project initiation
ii. Design team to perform all the required design works related to the project
iii. Architect to carry out the oversight role of ensuring that there is coordination within the design
process
iv. Client who works closely with the architect to come up with the design structure
v. Contractors perform the bidding process by specifying both the technical as well as the non-
technical costs for the building.
vi. Subcontractors who will perform the overall functions in line with construction tasks.
9. Outline the steps involved in preparing an estimate.

BUILDING AND CONSTRUCTION PROJECT COSTS 7
There are nine steps to be followed in developing the estimate costs in line with the project. These steps
mainly discussed as follows
i. Commission process which entails the verification of the various tasks to be performed in line
with the project.
ii. Determining requirements essentially comprise of the all the pre-designs and planning activities
which are to be carried in the construction.
iii. Formation of a design team with an architect to carry out the design specifications of the proposed
building.
iv. Designing of the structure: the architect designs a number of houses proposal and presents them to
the client for census
v. Bidding: this is where the documents prepared are released to the overall contracts to place their
prices for the proposed house.
10. List the relevant documents, legislations and codes that are application to a building site
In any construction site, there various plan, approvals and documents which are used in carrying out the
overall works at the site. They include
i. Development Approval
ii. Estimate cost document letter
iii. Elevation plan
iv. Alternative solution approval
v. Site pan
vi. Floor plan
vii. Section Details for Wall, Floor Ceiling and Roof
viii. Demolition Plan
ix. Footings as well as Concrete Slab Detail
x. Retaining walls analysis
11. Define bill of quantity and explain its purpose with suitable examples.
A bill of quantity is a document which is prepared and contains all the material specifications, description
quantity as well as the rates for carrying out the construction process in engineering. The bill of quantity
plays a vital role in construction by helping the contractor to place its bid on the contract document.

BUILDING AND CONSTRUCTION PROJECT COSTS 8
Furthermore, it is also used in developing and planning for the overall post construction activities.
12. Provide a list of materials and physical resources required at a building site for a building project. Provide
at least 10 items.
i. Concretes
ii. Bricks
iii. Electricity water supply
iv. Timber
v. Frames
vi. Doors
vii. Steels
viii. Retaining walls
ix. Pumping and pipes
x. Cements
xi. Sand
13. How will you determine the labour requirements at a building site and estimate the cost?
Both the labour requirements as well as the estimated costs in the construction mainly appraised by
considering
i. task to be performed
ii. skilled labour required
iii. work and nature of the job
iv. time required for the work to be completed
v. as well as the capital estimated to be paid to each worker
Residential House Rating Template
This analysis is on cost plan report which depicts various items to consider when designing and developing the
overall documentation. All the available data as well as the key items to be used in the building process have been
incorporated in the examination.
The analysis for the proposed area mainly summarized as shown
Measured Building Areas weighting @ weighted, m2

BUILDING AND CONSTRUCTION PROJECT COSTS 9
Ground floor -
new m2 103 100% 103
Ground floor - existing with work m2 78 67% 52.26
Ground floor - garage new m2 46 100% 46
First floor - new m2 98 100% 98
including voids & stair
External deck - upper m 2 12
Existing building to be
demolished m 2 72
Site area m 2 568
Total Building Area (B.A.) m2 320 310
Effective works
area
Preliminary
Site Preparation, Demolition & Repairs, Etc. $55,674
External Demolition And Site Clearance $14,900
Site Leveling, Excavation, Fill, Ground Conditions, Piers/Piling,
Underpinning, Retaining Walls, Etc. $22,615
Internal Demolition & Preparation And Repairs To Existing Structure $15,825
Hazardous Materials Removal $1,500
Building Works
$931,93
7
Pc Allowances And Provisional Sums
Concrete Work $26,542
Structural Steelwork Framing $39,152
Brickwork, Blockwork And Other Solid Walls $32,000
Roof Linings, Roof Plumbing & Rooflights $15,475
Carpentry - Framing, Linings, Insulation & Tanking $95,182
Plasterboard Wall & Ceiling Linings $27,965
Windows & Glazed Doors $42,230
Doors, Frames And Hardware $22,435

BUILDING AND CONSTRUCTION PROJECT COSTS 10
Floor Finishes $22,435
Wall Finishes $12,000
Painting $36,318
Fixed Joinery, Cabinets, Etc. $64,593
External Inground Services (Sewer, Stormwater, Water, Gas...) & Water
Tanks $7,999
Stone, Steel, Glass Or Similar Benchtops, Hearths & Splashbacks $10,850
Metalwork, Garage Doors, Screens, Mirrors, Bathroom Accessories,
Blinds, Signage, Etc. $20,450
Staircases, Balustrades And Handrails $11,000
Sanitary Fixtures, Tapsets, Whitegoods & Hot Water Service $22,590
Plumbing - Water, Waste, Vents Etc., Internally To Sanitary Fittings $23,845
Electrical Services, Light Fittings & Power Supply $39,744
Communications & Data, Security, Equipment And The Like $2,500
Heating & Cooling $36,900
Fire Protection And Detection
$11,00
0
Analysis on the Site Preparation
SITE PREPARATION, DEMOLITION &
REPAIRS, ETC.
External Demolition and Site Clearance $22,615
Demolish and remove existing buildings Item $9,208
Demolish and remove existing outbuildings, sheds & other
structures Item $895
Refer also to Internal Demolition & Preparation …
Site clearance, tree removal, other minor demolitions and
removals, fences, Item $1,692
paving, landscaping, etc.
Site Leveling, Excavation, Fill, Ground Conditions, Piers/Piling, Underpinning, Retaining
Walls, Etc. $32,734
Excavation and Fill
Site leveling, excavation/cut etc. including removing top soil,
vegetation and Item $2,384
disposal etc Item Excluded

BUILDING AND CONSTRUCTION PROJECT COSTS 11
Bulk/site excavation/cut etc. including removing spoil
Excluded, assumed not required
Termite treatment, barriers, etc. Item $2,002
Allowance for fill, backfill, crushed rock, etc. Item
No
allowance
assumed - further structural design information is required
Rock, poor ground conditions etc.
Poor ground conditions, soft spots or the like Item $9,980
Retention and protection to adjacent properties Item In above
Excavation in rock Item Excluded
Blinding concrete & excavation – allowance Item In above
Piers, piling, underpinning, etc.
Bored piers, screw piles and the like are assumed not required
Allowances have been included above, however, for potential
costs that may be
associated with any poor or volatile sub-ground conditions
Underpinning existing structures Item 7 $2,000.00 $14,000
Notably,
Screenshot
Retaining Walls
Internal Demolition & Preparation And Repairs To Existing
Structure $13,523

BUILDING AND CONSTRUCTION PROJECT COSTS 12
Internal preparation and removal
Remove finishes, linings, windows, doors, fittings & fixtures,
etc; leveling & Item $6,000
patching etc.; services; making good and the like
Item $7,100
Remove walls, floors, roof, etc; forming openings and the like;
propping,
Bracing, etc. (refer also to 'Brickwork…')
Item In abovePropping, bracing, shoring and supports to existing buildings
Saw-cutting concrete slabs and the like is assumed not required
Minor works and interface allowance Item Assumed nil
Minor labors, timbers, framings, linings, fixings; access,
temporary work; Item $423
leveling & straightening; work for services, other trades etc.
Maintenance and Repairs
Maintenance and repair required for this design work mainly summarized as shown in the table below
General & miscellaneous repairs and the like Item $4,500
Damp, dip’s, termites or other similar problems Item $2,000
Re-block existing flooring Item Excluded
Structural or other repairs to existing footings,
floors, walls, frames, roof, etc Item Excluded
Repairs and making good to existing façade, Item Excluded