PROJECT BRIEF
The client’s brief requires a feasibility design report with cost estimation for the land
development into residential lots including all associated roads, services, amenities and
landscaping.
The client is seeking to make a profit from this investment in excess of 20%. The land outlay
cost him $1.2 million, which was borrowed from a bank at a 7.5% interest rate. All additional
works associated with the development will be funded through a credit facility also at a bank
interest rate of 7.5%. Your financial assessment needs to consider the time period to develop
the land (i.e. feasibility, detailed design and tendering, construction) as well as the marketing
and sales period until all lots are sold (e.g. 1 year sales period). The local government has
zoned the land ‘Residential’ with an average development block size of approximately 600m2
expected, with individual blocks allowed between 400-1100m2. Some parkland is required in
the sub-division in order to meet local government standards.
In order for the client to proceed with the development, he needs to receive a positive
feasibility study that includes a workable schematic design, works estimate and profitability
assessment. This is the task of the design team (i.e. you).
Project Deliverables
1. Group Formation: Form a group of exactly five (5) persons (voluntary group
formation), which will serve as the feasibility design team. Create a group name (e.g.
Ginger Beers Consulting Engineers). All members will be required to make an almost
equal contribution to the project or penalties may be incurred to individual members
providing limited effort. Group formation is not the responsibility of the client. You
are required to indicate on the assignment cover sheet which member(s) of the group
were responsible for the production of each of the report sections. Each member of
the group will receive the overall mark for the report, based on even contributions
from members (i.e. 20% each).
3. Project Cost Estimate: Once you have completed a schematic design and drawings, as
well as basic specifications, you will be able to build a cost estimate for the project.
The first step to building a cost estimate is to create a Work Breakdown Structure
(WBS) for the project; this will help you build the estimate. The cost estimate will
need to cover all aspects associated with the project, with the significant portion of
work being to estimate the labour, equipment and materials required to complete
construction works. Given that this is a feasibility study, your estimates can only be
made based on best available information. Rawlinsons Construction Guide provides
good cost accounts for different activities and is a good reference document.
Remember that your estimate should include as many periphery activities/
considerations required for completing construction projects (e.g. site establishment,
traffic control where applicable, weather lost time, etc.).
4. Financial Assessment: Once a sufficient cost estimate for the different phases of the
project has been developed, you will need to conduct a financial assessment. The
client is seeking at least a 20% profit margin so examine whether this is feasible. You
will need to apply your engineering economics principles to complete this assessment,
and consider the accumulation of interest into your financial model. Remember, that
all lots will not be sold in one day and there may be some sales commissions that need
to be paid, so the return from individual lots will not necessarily be the cumulative
sales price. Please indicate the profit to the client from this investment and make a
recommendation on whether he should proceed with the project.
Suitable structurally sound soil material must either be reached via cut or fill with appropriate
compaction for building areas and roadways. Potentially, suitable fill may also be imported to
the site where required. Suitability requirements of the soil may need to be interpreted from
the supplied information or researched in terms of council standards (i.e. Gold Coast City
Council), Ausroads Guidelines, Australian Standards (AS 1726-1993), and/or Earthwork
Guideline AS3798.
Earth retaining structures may be required where excessive slopes exceed standards. You will
need to examine design standards for types of retainers that are suitable for different heights
of retained earth and indicate where they are located in your schematic design.
The type of earthworks machinery required to complete earthworks needs to be explained and
justified and their time and cost requirements estimated. Earthworks include but are not
limited to: general levelling of the site, excavation, road and site preparations, and digging of
all services. Naturally the overall efficiency of the plant equipment must be considered. You
may wish to use a unit rate approach for some earthworks calculations (unit rate e.g. $/m3 and
quantity e.g. 265m3) and a lump sum cost for others (earthworks survey $4,200).
Maximum gradients and dimensions of stormwater and sewage pipes should be in accordance
with the appropriate guidelines and AS (Australian Standard). You are able to make your
own determinations on final connections to both stormwater and sewage bulk mains. All
stormwater drains/pipes must be appropriately drawn on your schematic layout plan. You
may consider having stormwater detention areas if this is appropriate for the site conditions
and will meet appropriate regulations.
Water and wastewater service pipes are connected to each lot. Supply lines, at required
depths and gradients are to be indicated on the site plan. Similarly, electrical and
communication lines are to be indicated on the site plan. Stormwater and other surface water
drainage by underground piping or surface diversions accordance AS/NZS3500. As a
feasibility design, you are not required to design pipes, electrical, etc. Instead you can
indicate where these services will be provided on a layout plan and refer to standard drawings
and specifications. Assumption for typical services sizing is expected, as this is purely the
feasibility design stage of the project; do not tackle detailed design.
Large tables of information (e.g. calculation sheets and large figures/tables) that may detract
from the overall flow of the report should be included in Appendices.
All estimations of each aspect of the subdivision should be discussed, explained, analysed
and justified, based on quoted references, guidelines or Australian Standards. Failure to
provide some form of reasonable justification may result in a loss of marks.
It is expected that all members provide an almost equal contribution to the assignment (i.e.
20% each). Where one to two members contributions are significantly lower than others (e.g.
30, 30, 30, 10, 10), there may be reductions in marks for those members.
GROUP NAME:
Group member Student Section(s) Member Member
name number responsible Contribution (%) Signature
1.
2.
3.
4.
5.
BH1
BH4
BH2
BH3
200 m