Module 1n

CONSTRUCTION
ESTIMATING
MODULE 1
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The price of bread
The price of bread
Ingredients: Cover and let rise in a warm place
until doubled, about 1-1/2 hours.
Half teaspoon active dry yeast
1/4 cup warm water (110° to 115°) Punch dough down. Turn onto a
lightly floured surface; divide dough
Three tablespoons sugar
in half. Shape each into a loaf. Place
One tablespoon salt
in two greased 9x5-in. loaf pans.
Two tablespoons canola oil
Cover and let rise until doubled,
3/4 cup all-purpose flour
about 30-45 minutes. Bake at 375°
for 30-35 minutes or until golden
Method / Procedure: brown and bread sounds hollow
In a large bowl, dissolve yeast in warm when tapped. Remove from pans to
water. Add the sugar, salt, oil and 3 wire racks to cool. Yield: 2 loaves
cups flour. Beat until smooth. Stir in (16 slices each).
enough remaining flour, 1/2 cup at a
time, to form a soft dough. Turn onto a
floured surface; knead until smooth and http://www.woolworths.co.za/store/cat/F
elastic, about 8-10 minutes. Place in a ood/Food/
greased bowl, turning once to grease
the top.
The price of bread
A recipe will help to bake bread but it is also an art
Participation check
The benefit of the next two days to you also

depends on you.
Presenter Audience
Sender Receiver
My objectives Your expectations
Quick introduction
Please provide your name.
Elaborate on your daily responsibilities in your work

environment….
Why do you attend this course?
Documents as basis
• Guide to Elemental Cost Estimating & Analysis for Building Works
• Standard System of Measuring Building Work
• The Joint Building Contracts Committee (JBCC) Principal Building

Agreement
• Method of measuring floor areas in buildings (SAPOA)
Purposes of estimating
• What is the purpose of your estimate?

• m² Rate for your cousin’s holiday home?
• Assisting your Client with an investment decision?
• Pricing a tender document ?
• Determine the value of a cost variation?
• Calculating professional fees?
• Fixing a budget for your new project
• Etc …….
The level of information and the estimating method for
each of the above purposes will differ.
Who needs cost information?
• Client (Developer)
• Project Manager
• Architect
• Engineer
• Quantity Surveyor
• Property buyer
• Tenant
• Contractor
When do we do estimates?
Contractor QS Firm
Inception Inception
Concept & Viability Concept & Viability
Design Development Design Development
Documentation & Documentation &

Procurement Procurement
Construction Construction
Close-out Close - Out

Different types of estimates
• Rate per m² estimate (1)

Area estimate (1)
Order of magnitude Estimate. (1)
• Elemental estimate done by a QS firm for a Client (2)

• Elemental estimate for your own development (2)
• Estimating while pricing a BoQ for tendering purposes (3)
Order of Magnitude (Type 1)
• Make use of unit rates for the specific structure / type of
building
• High level
• Rate varies based on building type / structure type / capacity
• You must have a database to work from
• You will need the following information for this type of
estimate:
o Sketch plans
o Floor to floor height & No. of storeys
o Type of structure / Capacity requirements
o Accommodation requirements
o Relevant unit rates (m², key, bed, person, seat, bay,
volume)
How to do a high level estimate
o Visit the site
o Measure the floor areas of the layouts you received
o Make logical assumptions where information is
outstanding
o Allow for what you know should be part of the
structure
o Apply the unit rate from your database / previous
similar estimates to the applicable unit for the
building / structure you are doing the estimate for.
o Make logical adjustments where the building /
structure differs from that in your data base. (Floor to
floor height, special foundations, location etc)
Typical sketch plan
Typical sketch plan
Floor to floor heights
Accommodation Schedule
GLA= Gross Lettable Area
GBA= Gross Building Area
GCA = Gross Construction Area
Elemental Estimate (Type 2)
formwork, convrete, rebar
• What information do you need?
o Floor layouts, Sections and Elevations
o Finishing schedules
o Budgets from engineers for specialist trades
o Allowances from Engineers for structural elements
o Elemental Quantities based on your measurements
o Rates from similar projects for trade items
Elemental Estimate (Type 2)
• How to use the information you have received
o Review all information received and issue query sheets
o Measure elemental quantities from drawings received
o Get budget quotations for specialist items
o Allow for escalation based on tender- & construction
programme
o Query contradictions on drawings and schedules
o Measure provisional amounts where items are indicated but
allowances specified
not specified.
o Allow for unknowns
o Make logical assumptions based on similar projects where no
information is available
Pricing a tender (Type 3)
• Pricing bills of quantities as Estimator for a

Contractor
o Very detailed – Items priced in trades
o Rates for items vary based on numerous factors. The
biggest part of each rate will be based on facts but
some assumptions will still have to be made.
o Prices must be calculated for the specific project, on
a specific site during a specific period based on
specific design information
• What information do you need?

o Un-priced Bills of quantities based on a set of
drawings
o Architect’s drawings and schedules
o Structural drawings
o Project specifications
o Know where the site is
• How to use the information you have received
o Review all information received and issue query sheets (see standard
query sheet template)
o Get quotations from specialist contractors (Lifts, Air Conditioning etc)
o Allow for escalation / inflation based on tender- & construction
programme
o Make very sure of the type of contract being used (JBCC, GCC, NEC,
FIDIC)
o Check for changes to standard contract terms (Preliminaries)
o Ensure you use the latest rates for the specific region
o Query items on drawings but not in Bills of Quantities and visa versa
o Take note of relevant clauses in Model Preambles for trades
o Take note of the relevant SABS clauses
o Do spot check measurements
o Price the tender as measured in the BoQ
Visit the site ……
….. to prevent costly surprises
Ask for more information
•Electrical Estimate
•Mechanical Estimate
•Structural allowances
•Geotechnical conditions
•Use information from previous similar
projects
Provide a RFI / Query list
You have received drawings and photographs

from your client to provide a cost plan / estimate
for the construction of a new shop at an existing
shopping centre.
Study the information you have received and

provide the client with a RFI (Request for
Information) indicating additional information
you need in order to produce the cost plan.
THANK YOU
Len Holder
Tel: 011 447 7470
Web: www.alusani.co.za
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CONSTRUCTION

A recipe will help to bake bread but it is also an art

The benefit of the next two days to you also

My objectives Your expectations

Please provide your name.

Elaborate on your daily responsibilities in your work

Why do you attend this course?

• Guide to Elemental Cost Estimating & Analysis for Building Works

• Standard System of Measuring Building Work

• The Joint Building Contracts Committee (JBCC) Principal Building

• Method of measuring floor areas in buildings (SAPOA)

• What is the purpose of your estimate?

Concept & Viability Concept & Viability

Design Development Design Development

Documentation & Documentation &

Close-out Close - Out

• Rate per m² estimate (1)

• Elemental estimate done by a QS firm for a Client (2)

• Estimating while pricing a BoQ for tendering purposes (3)

• Pricing bills of quantities as Estimator for a

• What information do you need?

You have received drawings and photographs

Study the information you have received and

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