The building works estimate is the sum of the cost targets for group elements 1 to 8 under NRM 1. It excludes the facilitating works estimate, main contractor’s preliminaries, main contractor’s overheads and profit, the project and design team fees estimate, the other development and project costs estimate, and risk allowances.
In an order of cost estimate or cost plan, the building works estimate is the core figure for the construction of the building itself. Preliminaries and overheads and profit are usually calculated as percentages or separate sums and added to it, together with facilitating works, to produce the works cost estimate. Because it strips out project specific additions, the building works estimate is the figure normally used for cost per m² and cost per functional unit comparisons.
Related terms: building works, works cost estimate, cost target, cost per m² of GIFA.
