ᐅ Costs for Shell Construction and Roof Covering/Insulation – Is a Fixed-Price Quote Acceptable?
Created on: 9 Oct 2018 13:40
B
Bau_dus
I am trying to assess whether the price offered to me for building a house is reasonable.
Model: An architect builds houses at a fixed price through his company. He purchases a plot of land, demolishes the existing buildings, and constructs two semi-detached houses on it. I am being offered the plot + demolition of existing structures + shell construction + roofing/insulation/gutters + garage at a fixed price (notary basis). The interior finishing will be contracted separately by me; for this, I have price quotes per trade, executing company, and scope of work from the architect. The architect does not earn any profit from the interior finishing (I only pay a flat fee of €5,000 (approx. $5,400) for his construction manager), meaning his profit is fully included in the “notary basis.”
After deducting the market price of the land, passed-on purchase-related costs + 50% of demolition costs (including basement) + subdivision, approximately €400,000 (approx. $430,000) remain for the fixed price covering planning + shell construction + roofing/-insulation + garage + profit.
Here is my estimated cost breakdown based on my research (I am not an expert) and I would appreciate your review for general accuracy:
Details: 1.5-story semi-detached house, 8 x 13 m (26 x 43 feet), attic converted into living space, reinforced concrete basement, built according to the 2016 Energy Saving Ordinance, about 1000 m³ (35,300 ft³) enclosed volume (my calculation based on sections).
1) Earthworks + shell construction: approx. €150,000 (approx. $161,000)?
(Basement: 36.5 cm (14 inches) masonry or concrete, party wall made of sand-lime brick; load-bearing masonry: sand-lime brick + 120 mm (5 inches) core insulation + facing bricks (€0.5 per brick), non-load-bearing: sand-lime brick/brick/plaster walls; ceilings: reinforced concrete, stairs from basement to attic: reinforced concrete)
2) Masonry + facing bricks garage 9 x 5 m (30 x 16 feet): approx. €30,000 (approx. $32,000)?
3) Roofing + insulation + gutters: approx. €50,000 (approx. $54,000)?
(approx. 160 m² (1,720 ft²) roof area (my calculation based on sections), roof frame made of softwood, quality concrete tiles on roof membrane, gutters + downspouts in zinc, insulation meets requirement for living attic and attic conversion)
4) Architect and engineering services: approx. €35,000 (approx. $38,000)?
Subtotal costs: €265,000 (approx. $284,000)
Remaining amount (€400,000 - €265,000): €135,000 (approx. $145,000)
- of which VAT: €22,000 (approx. $24,000)
- of which profit/margin: €113,000 (approx. $121,000)
a) Does this allocation of the fixed price seem realistic?
b) Is the margin/profit typical for the market, considering that no additional profit comes from the interior finishing?
Thank you in advance for any feedback!
Model: An architect builds houses at a fixed price through his company. He purchases a plot of land, demolishes the existing buildings, and constructs two semi-detached houses on it. I am being offered the plot + demolition of existing structures + shell construction + roofing/insulation/gutters + garage at a fixed price (notary basis). The interior finishing will be contracted separately by me; for this, I have price quotes per trade, executing company, and scope of work from the architect. The architect does not earn any profit from the interior finishing (I only pay a flat fee of €5,000 (approx. $5,400) for his construction manager), meaning his profit is fully included in the “notary basis.”
After deducting the market price of the land, passed-on purchase-related costs + 50% of demolition costs (including basement) + subdivision, approximately €400,000 (approx. $430,000) remain for the fixed price covering planning + shell construction + roofing/-insulation + garage + profit.
Here is my estimated cost breakdown based on my research (I am not an expert) and I would appreciate your review for general accuracy:
Details: 1.5-story semi-detached house, 8 x 13 m (26 x 43 feet), attic converted into living space, reinforced concrete basement, built according to the 2016 Energy Saving Ordinance, about 1000 m³ (35,300 ft³) enclosed volume (my calculation based on sections).
1) Earthworks + shell construction: approx. €150,000 (approx. $161,000)?
(Basement: 36.5 cm (14 inches) masonry or concrete, party wall made of sand-lime brick; load-bearing masonry: sand-lime brick + 120 mm (5 inches) core insulation + facing bricks (€0.5 per brick), non-load-bearing: sand-lime brick/brick/plaster walls; ceilings: reinforced concrete, stairs from basement to attic: reinforced concrete)
2) Masonry + facing bricks garage 9 x 5 m (30 x 16 feet): approx. €30,000 (approx. $32,000)?
3) Roofing + insulation + gutters: approx. €50,000 (approx. $54,000)?
(approx. 160 m² (1,720 ft²) roof area (my calculation based on sections), roof frame made of softwood, quality concrete tiles on roof membrane, gutters + downspouts in zinc, insulation meets requirement for living attic and attic conversion)
4) Architect and engineering services: approx. €35,000 (approx. $38,000)?
Subtotal costs: €265,000 (approx. $284,000)
Remaining amount (€400,000 - €265,000): €135,000 (approx. $145,000)
- of which VAT: €22,000 (approx. $24,000)
- of which profit/margin: €113,000 (approx. $121,000)
a) Does this allocation of the fixed price seem realistic?
b) Is the margin/profit typical for the market, considering that no additional profit comes from the interior finishing?
Thank you in advance for any feedback!
Bau_dus schrieb:
I didn’t want to overload the thread with this topic: I have a cost estimate of €150,000 divided by trade and company. That seems very low to me. The construction specification partly reflects a rather lower standard. I have sent change requests to the architect asking for pricing. Still, he must be getting extremely good prices if he wants to purchase the rest for €150,000. For example, the design includes a lot of window area as well as high ceilings (ground floor 2.90 m (9.5 ft) clear height) with accordingly tall windows, and exclusively wooden windows.You hopefully realize from @Bookstar’s figures that something is off with your fictional numbers, right? And he hasn’t even included your ground floor luxury height of 2.90 m (9.5 ft) yet, nor the very many windows. €30,000 (approximately $33,000) is far from enough. My standard 2.33 m (7.6 ft) windows already cost €20,000 (best profile from the supplier, but still plastic) in the PVC version.
Lumpi_LE schrieb:
Do you know the correct land price?
Your calculations are based on too many assumptions for any reliable conclusion to be drawn here.I recently declined a project with a general contractor on a side street where I would have purchased the land separately with almost the same size. I used that price per sqm (square meter) here because the land in the project under discussion is actually less attractive (north-facing instead of southwest-facing, lot shape narrower by about 1m (3 feet)) and the developer/architect is very well connected locally and generally buys land privately before it goes on the open market, as was the case here.
Specifically:
Land priced at €330,000, market price set at €700/sqm (square meter), official land value: €490/sqm
Pass-through ancillary purchase costs: €30,000
Half of demolition costs (since it’s a semi-detached house) and subdivision: €20,000
Subtotal: €380,000
The fixed-price offer (land + shell construction + roof + garage + planning + profit) is €780,000.
Therefore, €400,000 is the amount under discussion here.
Zaba12 schrieb:
And you can completely forget about the 150k€. I understand that I will have to spend significantly more on the interior finishes, as some items have been estimated with too low a standard. At least I have a detailed breakdown for that. What’s important to me is whether the prices can actually be achieved based on his scope of work description:
Here are the main points. The house is a semi-detached with 200 sqm (2150 sq ft) of living space plus 75 sqm (810 sq ft) of usable space in the basement.
1) Windows/Roller Shutters: 40,000€ (Wooden windows, tilt-and-turn hardware by Hoppe, triple glazing, U-value: 1.1, large window area with ground floor ceiling height 2.90 m (9.5 ft), basement 2.50 m (8.2 ft), manually operated plastic roller shutters on ground and top floors)
2) Heating/Sanitary: 36,000€ (Air-to-water heat pump, underfloor heating on ground floor, top floor, attic, one large bathroom with two washbasins, walk-in shower, bathtub, Optima Duravit ceramics, simple Hansa fittings)
3) Electrical: 6,500€
4) Plaster/Drywall: 16,000€ (Q2 finish quality)
5) Screed: 5,500€
6) Metalwork: 5,500€
7) Joinery: 6,000€
8) Painting: 5,500€ (White paint on textured wallpaper)
9) Tiling: 12,000€ (Material cost 20€/sqm, 11 sqm (118 sq ft) bathroom, 40 sqm (430 sq ft) ground floor, entire staircase from basement to attic fully tiled)
10) Flooring: 6,000€ (Approx. 100 sqm (1075 sq ft) carpet at 20€/sqm material and 40 sqm (430 sq ft) parquet calculated at 60€/sqm including installation)
11) Exterior works: 10,000€ (Leveled garden area + eco-friendly paving terrace (18 sqm (194 sq ft)) and driveway (approx. 100 sqm (1075 sq ft)))
This totals 100,000€. I have the company offering each item. Even though some details are missing for an exact evaluation: Which of these positions seems unrealistic based on the information provided?
Bau_dus schrieb:
I understand that I will have to invest significantly more in the interior finishing since some items have been budgeted with too low a standard. At least I have a detailed breakdown for this. What matters to me is whether the prices can realistically be achieved based on his scope of work description:
Here are the main points. The house is a semi-detached house with 200sqm (2,153 sq ft) of living space plus 75sqm (807 sq ft) of usable space in the basement.
1) Windows/Shutters: 40,000 (Wooden windows, triple glazing, U-value: 1.1, large window area with ceiling height on the ground floor 2.90m (9.5 ft), basement 2.50m (8.2 ft), manually operated plastic shutters on the ground and top floors)
2) Heating/Sanitary: 36,000 (Air-to-water heat pump, underfloor heating on ground floor, top floor, and attic, one large bathroom with 2 washbasins, walk-in shower, bathtub, Optima Duravit ceramics, basic Hansa fittings)
3) Electrical: 6,500
4) Plaster/Drywall: 16,000 (Q2 finish)
5) Screed: 5,500
6) Locksmith: 5,500
7) Carpenter: 6,000
8) Painter: 5,500 (White paint on textured wallpaper)
9) Tiles: 12,000 (€20/sqm material price, 11sqm bath, 40sqm ground floor, entire staircase tiled from basement to attic)
10) Flooring: 6,000 (€20/sqm material for approximately 100sqm carpet and €60/sqm installation value for 40sqm parquet)
11) Outdoors: 10,000 (leveled garden area + eco-paving terrace (18sqm) and driveway (approx. 100sqm))
This totals €100,000. I have the supplier information for each item. Even though the details are insufficient for a precise evaluation: Which position seems unrealistic based on the information provided? All except possibly the windows—and even then, only maybe! And I don’t mean the pattern of items. Some items are missing, and those listed are budgeted too low. Not just by €1-2k but off by a five-figure amount.
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