Design Economics and Cost Planning

Question 1

What is NRM 1, what does it cover?

Answer 1

NRM 1 is the New Rules of Measurement 1.

It covers the Order of Cost Estimating and Cost Planning for Capital Building works.

Question 2

Can you give me some Design Ratio’s that you are aware of?

Answer 2

Wall:Floor
Net:Gross

Question 3

What kinds of percentages are you expecting for those ratio’s? (Wall:Floor & Net:Gross)

Answer 3

For commercial offices:

Wall:Floor = 50%
Net:Gross = 80%

Residential:
Wall:Floor = 50%
Net:Gross = 60%

Question 4

Noting that you’ve collated a number of Cost Estimates / Plans at varying stages, how did the Design Information deliver as you progressed through the RIBA Stages?

Answer 4

Stage 2:
- Some GA’s from Architect, Structural Engineer & Landscape Designers
- Elevations
- Maybe some details
- High level specification

Stage 4:
- Complete GA’s from all consultants
- Details
- Schedules
- Specifications
- Reports
- Schematics for MEP

Question 5

On either Dorking, Quad 3, or 3B, can you give me an example of a VE item you identified?

Answer 5

3B = Change in the specification of Brickwork and reduced sequencing of brickwork.

Question 6

Can you also explain how the VE Process was run on one of those projects?

Answer 6

I included a VE register in my issued cost plans, which highlighted VE areas that could be progressed.

These were presented to the client who then made a decision on the ones they wanted to be incorporated into the design.

Question 7

How did you determine best value for your Client?

Answer 7

By understanding their key requirements, key items that they need to achieve in the design so as to get as much value from the building as possible.

Question 8

On Quad 3, how did you go about identifying the increase in your Cost Estimate (in particular the External Wall)?

Answer 8

I tracked this through the use of my reconciliation in the cost plans that I issued. This tracked certain elemental areas of the cost plans to highlight areas that had changed.

Question 9

Was there anything you could have done as the QS to prevent that from happening in the first place?

Answer 9

Perhaps more input during the design stages to understand this development.

Although this was introduced very late on and something that the Architect has previously discussed with my client.

Question 10

For your Vauxhall Bridge Project, where did you obtain the data from to complete the functional unit estimate? Did you have to do anything with that data?

Answer 10

I was able to use in-house data from previous schemes that we have delivered.

Yes, I had to rebase this data for time and location factors.

Question 11

What was your cost/m2 for Quad Three and GE3b for the external wall?

Answer 11

Quad Three = Stick built unitised system = £700 / m2
GE3b = Traditional Masonry Wall System = £850 / m2