CONSTRUCTION FINANCE MANAGEMENT & COST ACCOUNTING
An offer has been given by a Charitable Trust to develop and build a facility on a 10,000 sq.m of plot in a prime locality of Pune where 5000 sq.m of area will be used by the trust for housing, health facilities for Senior Citizens. 5000 sq.m will be given free to developer as a cost of development. Cost of land is Rs. 10,000/- sq.m. Specifications for flooring: 10% Granite, 40% Kota Stone, 50% Mosaic Cement Tiles, R.C.C. Framed Structure, Aluminium sliding windows-Class A, Rest specifications as used for Class A constructions. Discuss the financial viability of the project and the financial planning of the project. Developer would like to have minimum 18% net profit on his investment. Developer can invest only Rs. 10 lakhs as his own funds and can raise not more than Rs. 50 lakhs as bank loan.
PROJECT SCOPE Project scope is to build and develop a plot in prime locality of Pune. The project belongs to a Charitable Trust. The development would include housing and health facilities for senior citizen. Area of the whole of the plot is 10,000 sq.m Area distribution:Total Plot area Area to be developed Left area = 10,000 sq.m = 5,000 sq.m = 5,000 sq.m (To be given to developer for development) Cost of Total Plot Area = Rs. 10,000/- per sq.m
Cost of land given to the developer = 5000 X 10,000 = Rs .500, 00,000/Now, the left area i.e. 5000 sq.m of land has to be developed with required Class A specifications. The land having area of 5,000 sq.m has to be developed according to general norms and byelaws put by authority. Since, it is housing cum health facility following coverage’s can be taken: Ground Floor Coverage First Floor Coverage Second Floor Coverage = 60% = 60% = F.A.R.-G.F.Coverage-1st Coverage
Assumed that only Ground Floor Coverage is to be done. So the area work outs Area to be build = 60% of 5000sqmt. = 60 X 5000 = 3000sqmt.
Open area = 5000-3000=2000sqmt. (To be utilized for Landscape, Services etc.)
All civil works shall be cured properly in accordance with National Building Code requirements. These shall include all brick masonry, DPC, RCC works, Plastered Surfaces including repaired areas etc.
CIVIL WORKS 1. Earth work in plinth walls and foundations, all up to full depth, refilling of earth or sand as specified in sides of foundations, tanks as above and plinth up to full depth. 2. Yamuna sand filling, 75 mm deep, watered and rammed under all floors below PCC. 3. Lean concrete (PCC 1:4:8) well rammed and watered in footings, foundations, bases for columns, for under floors and raft slabs. 4. Brick work with well burnt first class bricks in foundation and interior walls of superstructure including cladding on internal face of basement walls in C.M. 1:6 for all full bricks (230mm) walls, in C.M. 1:6 and C.M. 1:4 for external and internal half bricks (115mm) respectively with tor steel reinforcement with 18” vertical spacing for half brick walls.
Damp proof course 40mm thick with cleaning and an admixture of approved water proofing compound which shall be covered with gunny bags and kept wet for 7 days until covered by masonry.
Reinforced Cement Concrete (M20 grade as specified) in foundations, plinth beams, columns, footings, beams, roof slabs, loft slabs, lintels, sunshades, pergola, canopies etc. to be machine mixed and mechanically vibrated. All shuttering to be in steel plates. All concrete surfaces shall be hatched prior to plaster.
Tor steel reinforcement inclusive of centering and shuttering as per structural design/drawing.
Chiseling for electrical conduits including repair after placement of piping/conducting with rich cement mortar.
Internal plaster with grooves, 12 mm thick with Cement/Yamanu Sand of mix 1:3 on ceiling and 1:5 on walls over with chicken mesh reinforced at along all junctions of concrete and brickwork
Exterior finish as per drawings/instructions Exterior surfaces to be plastered 300 mm below plinth/soil filling levels.
WATER PROOFING/INSULATION All Water Proofing Works Shall be carried out by an approved agency appointed by the contractor within the scope of this contract. 2. All waterproofing works to be floor tested to the satisfaction of the architect. 3. Following specifications to be followed. a. All sunk slabs and planters to be water proofed with brick coba treatment. Roofs at top floor to be water proofed with 2 layers of hot bitumen laid on walls up to 100mm above finished flooring.
FLOORING/ SKIRTING/COUNTERS/BATH TROUGHS Flooring in kitchen and bathroom shall be in 300mm x 300mm matt ceramic tiles (price range limit Rs. 35/ sq.ft.) or in marble or other stone slabs (price range limits Rs 30/ sq.ft.) as specified, in patterns as per design.
TERRACING/ ROOFING 1. Flat roofs at top floor level other than those mentioned in C-Flooring above shall be laid in slopes as per design with mud phuska of 200mm average thickness and finished with 50mm thick brick tiles grouted and pointed with C.M. 1:3 with an admixture of water-proofing compound as specified. Steps shall be provided between different levels of roofs as per drawing finished with brick tiles above.
100mm x 100mm cement golas, bitumen painted and finished as per N.B.C. specifications shall be provided at all junctions of roof slab and walls on flat roofs.
DOORS/WINDOWS/ VENTILATORS /AC OPENINGS/ WARDOBES/ CABINETS/ OTHER WOOD WORKS Door/ windows/ ventilator/ A.C. opening shall be in 50mm x 150mm Ghana Teak wood or approved equivalent of shape, height and width as per design, Top members shall be of flat shape.
Internal door shutters except where specified shall be max. 2100 height, width as per design rectangular in shape in 38mm thick flush door both sides teak ply or one side commercial ply and one side teak ply as required.
Mirror of 6 mm thick float glass of size approx. 1.6m x 1.05m shall be provide over counter in all bathroom with 12mm ply backing and T.W. frame as per design.
HARDWARE Hardware shall be provided and fixed for all doors/ windows/ ventilators, wardrobes and cabinets as per requirement in brown anodized aluminum except where specified. Hinges for doors/ windows shall be mild steel of approved quality. All hardware provided in servants rooms and toilets shall be in aluminum plain matt finish.
FOR DOORS/ WINDOWS/ VENTILATORS 1. For all external doors, Hinges, tower bolts at top and bottom, door stops, dead lock and 6 lever mortise locks of turning knob/ handle type on inside, sliding mechanism if required and handle on out side, all of approved sizes, make and quality. 2. For all internal doors other than bathroom doors : Hinges, tower bolts at top only, door stops on inside, sliding mechanism if required and 6 lever mortise locks of turning knob/ handle type on both inside and outside, sliding folding rail and suspension hinge mechanism if required, all of approved sizes, make and quality. 3. For all bathroom doors : Hinges, tower bolts at top only or baby latch, and 6 lever mortise latches of turning knob/ handle type on both inside and outside, all of approved sizes, make and quality. 4. For front door : Hinges, safety lock, peephole, security chain, tower bolts at top only and handle on inside, and padlock bolt and handles on outside, all of approved sizes, make and quality. For windows and ventilators : Hinges tower bolts at top and bottom, handles and windows stays on inside, sliding folding rail and suspension hinge mechanism, all of approved sizes, make and quality.
G. STEEL WORK : DOOR-WINDOW GRILLS/ STAIRCASE AND BALCONY RAILINGS. 1. Safety grills in mild steel square sections (10mm/ 12mm square rods) in pattern as per design, all welded joints filed smooth, shall be provided for all external glazed doors/ windows/ ventilators openings.
Staircase and internal railings shall be mild steel section as per drawing/ requirement in pattern as per design all welded joints filed smooth with 100mm x 50mm teakwood handrail moulded as per design.
Exterior Balcony and Terrace railing shall be in mild steel section as per drawing/ requirement bent or curved as per design, with 50mm x 50mm mild steel box sections of approved gauge top handrail, all welded joints shall be filed smooth.
H. WALL FINISHES 1. All walls and column, masonry elements and sides of bath troughs in kitchen and bathrooms shall be clad in glazed tiles (plain/ ready available patterned of sizes up to 200mm x 300mm up to 2100 height. 2. All other interior walls, ceilings, masonry elements inclusive of verandah walls except those in exposed brick or stone work if necessary shall be painted with plastic emulsion in 3 coats inclusive of priming coat to achieve an even shade as per approved color over plaster of requisite smoothness and approved quality. 3. All external walls and masonry elements inclusive of verandah/ balcony walls if necessary shall be in snowcem finish with approved colour.
ELECTRIFICATION WORKS All electrification works as required as per drawings for full commissioning of the system as per design shall be provided within the scope of the contract. All work shall be carried out strictly according to National Building Code and C.P.W.D. specification using materials with I.S.I. approval and as directed by the
Architects. The complete system shall be tested and energized prior to handover to the Architects satisfaction. A position given on electrical layout plans of the points and other fittings shall be strictly adhered to prior to plastering all positions shall be checked against drawings and final position shall be ascertained form Architect. After completion of conduiting, wiring and placement of switch the Contractor shall be notify the Architect in writing. The Architect shall sand his representative to remain present at the time of carrying out of the specified tests by the Contractor on a mutually convenient date. The tests shall comply with existing regulation and shall include. 1. 2. 3. Energizing and testing of each point. Testing of each point from M.C.B. and Main Fuse unit. Testing of and physical verification of earthing apparatus. 1 set for each unit. 4. Testing of telephone and T.V. points and verification of intake connection points provided. 5. Physical verification and checking of incoming supply armored cable and masonry housing. The complete installation inclusive of all fixture and fittings shall not be finally taken over and acceptance certificate issued to Contractor until expiry of the defects liability period. During this period the contractor shall be liable for. 1. The replacement of any defective parts that may develop in goods of his own manufacture or those supplied by him (not inclusive of appliances if any purchased on Owner account).
Bringing to the notice of the Owner/Architect any defects in materials supplied by the Owner to enable their replacement by the Owner thus rectifying the defects.
Only specified brands of materials shall be used subjects to the Architects approval. The Contractor shall submit samples of all accessories, apparatus fixtures and fittings to the Architect for approval and shall not depart/ deviate from the approved sample without written instructions from the Architect. The work shall include: 1. Conduiting for electrical points as per design in an appropriately devised circuit (with reference to electrical load indicated and requisite for each point) in P.V.C. conduits of approval quality including junction’s bends etc. as required. Junctions in main living areas shall be minimized and shall preferably be provided in passage or ancillary areas. Conduits shall be concealed by chasing into masonry and plastering over with rich cement mortar in all walls and by laying prior to and casting into R.C.C. slabs, beams and columns as required. Fan hook boxes, ceiling light boxes and switch boxes if any shall also be placed prior to and cast into R.C.C. elements. 2. Separate conduits and wiring shall be provided for the following independent circuits a) b) c) d) e) AC (32 AMP) points. Power (16amp) points. Light (6 amp) points. Telephone points, 3 no., 4 line, eight pair connection. T.V. (Cable T.V.) points.
All electrical wiring shall be in PVC insulated stranded copper conductor wiring of requisite grade. These shall include: a) For light/fan/6 amp switch/socket outlets(250 V) 2.5 sq mm, 660 V grade wire b) For 16 amp switch/socket outlets (250 V) 4.0 sq mm, 660V grade wire c) For 32 amp switch/socket outlet (250V/415V) 6 sq mm, 660 V grade wire.
All the circuits shall be earthed by GI plate of 600mmx600mmx6mm thick inclusive of all accessories duly connected to Distribution Board with earthing strips.
SANITARY AND WATER SUPPLY All sanitary and water supply provisions and installation works as per drawings annexed shall be provided inclusive of all items of work requisite for full commissioning of the system as per the drawing within the scope of the Contract. All works shall be carried out strictly according to the B.I.S. codes and C.P.W.D. Specifications 1996 with amendments up to date and as directed by the Architect. The contractor shall get the following test ascertained:a) Hydraulic pressure testing to 7 kg/sq cm of all GI water supply pipes for at least four hours without drop in pressure before closing chases or insulation of pipes.
b) All soil/waste/rain water pipes shall be tested with water filled up to two floors and smoke test up to terrace/roof. c) All manholes/gully traps and drains shall be tested for smooth flow of water to the Architect’s satisfaction. d) It will be the contractor’s responsibility open completion to get all formalities complete with local authorities as necessary or as directed by the Architect. e) The contractor shall always get the samples of accessories, apparatus, fixtures and fittings he proposes to use in the installation by the Architect/Owner and shall not deviate from the approved samples without written instructions from Architect. f) An under ground water tank of capacity 15000 liters in RCC complete with water proofing treatment shall be provided as per the drawing. g) An over head water tank of capacity 15000 liters in RCC complete with water proofing treatment shall be provided as per the drawing.
MISCELLANEOUS WORKS 1. Anti-Termite shall be provided by the Contractor by a reputed agency with at least 10 years guarantee duly provided by the same. 4 stages of the treatment shall be carried:
a. Foundation treatment b. back-fill treatment c. Under floor treatment d. Perimeter treatment In addition all wood/board bought to the site shall be treated with anti- termite chemical at two stages i.e. when brought at site and immediately prior to placement in construction to the Architect’s Satisfaction. 5. All items of work in rear margin area, front margin area, court yard, side court yard and drive way as indicated in the drawings annexed to the contract shall be provided inclusive of all items of work reasonably implied by the general terminology used and drawings supplied to be requisite to the proper placement and functioning of each item of work. These external works include.
a) Earthwork in excavation up to full depth for underground water tank, gate post and boundary etc. b) Earth/Yamuna sand filling up to all depths in sides of above and under driveway and other paved areas. c) Lean concrete (PCC) in footings, foundations, and other paving areas. d) Brick work in first class bricks in foundation and superstructure up to full heights and depths specified. e) DPC as specified for all dividing walls and boundary walls etc.
f) RCC (M15 OR M20 AS SPECIFIED) in retaining walls, tank walls and rafts, gate and gate post footings all up to full depth or dimension as specified. g) Tor steel reinforcement inclusive of centering and shuttering for RCC elements as per structural drawing. h) Earth filling where-ever necessary in open areas. i) Steel gates and gatepost as per drawing to the Architect’s satisfaction. j) Provision of external electrical works inclusive of open area lights, gate lights, foot lights etc. This shall include all requisite conducting, wiring and switches etc. k) Provision of all taps in the open inclusive of piping and provision of fitting. Also provision of water outlet pipes etc. as requisite in external works for requisite surface drainage of exterior areas.
EXCLUSION FROM THE CONTRACT 1. 2. Provision of generator, change over switch, invertors. Provision of bath tubas, bidets and sanitary fixtures other than specified. 3. Provision of fans, exhausts, geysers, light fixtures, tube well bore and pump and other type of electrical/electronic items.
QUALITY OF MATERIAL/ FITTINGS/FIXTURE
To be used for execution/ installation/ construction as per architectural, structural and technical drawings within the scope of the contract.
1 2 3 4 5 6 7 8 9
Bricks/brick tile Sand Coarse sand Stone ballast Cement Tor steel White cement for flooring Water proofing Bitumen
: : : : : : : : : : : : : : : : :
1st Class, well fired bricks with good moulding color and shape Clean Yamuna sand with no clay, salts or mineral impurities Clean rock dust Badarpur as above. Blue shade stone ballast of ¾” – ½” grade(Sohna or Pali) J.K. /A.C.C. grey Portland cement grade of approval quality. Kamdhenu/Rathi tor steel. Mysore cements 1st quality. Approved company as per specifications. Blown/ Industrial grade 85/25 or 95/15 I.S.I. make TYPE 3 GRADE 1 I.S.I. mark. Component based sealant of Choksey Chemical or Equivalent Nitco/Somany/Spartek/Bell/Kajaria as per design range Rs. 30/ sq. ft. Kajaria/Johnson or Somany factory printed as per design range Rs. 25/ sq. ft. As per approval price range if any as specified Super white or of approved colours sorted and graded with 12 mm. Nominal diameter 4-6 mm thick sheet glass as per design. Ghana Teak, 1st class with nominal cracks, knots and joints within pieces as per approval Assam board/ Kitply for all used upto 25mm thickness, both sides teak ply.
10 Tarfelt 11 Polysulphide sealant 12 Matt ceramic tiles 13 Glazed tiles 14 Stone flooring 15 Marble chips for terrazzo fl.
16 Glass strips 17 Wood
18 Commercial board/ply
19 Wire mesh 20 Glazing 21 Mirrors 22 Steel section for safety 23 Laminate 24 HARDWARE a b c d e f g h i j k l Hinges of door/windows/ sliding/sliding folding mechanisms Piano Hinges Auto closing hinges & drawer slides Mortice Locks/Latches Dead locks, cupboard locks Safety locks Towel bolts, sliding bolts, pad locks windows stays Knobs/ Handles Plastic emulsion Exterior paint Synthetic enamel paint Spirit polish
: : : : :
Mild steel fine wire mesh of approved quality. 4 - 6 mm thick Triveni/Modi sheet glass. 6 mm thick Modi Float first Quality Mirrors C.R.C.S. Steel of approved make GRILLS, RAILINGS ETC Approved make as per design not inclusive of texture or other fancy Laminates.
: : : : : : : : : : : : :
Chromium plated mild steel hinges of jolly make or as per approval Piano Hinges as per approval. Earl Bihari/Fly rail make or equivalent as per approval. Bolt make or equivalent as per approval Godrej or equivalent as per approval Yale (imported) or as per approval Anodized aluminum of Armour/Jyoti makes. Bolts, baby latches, doorstop Bush or equivalent as per approval Dulux or approved make Super Snowcem Asian paint or approved make All ingredients I.S.I. brands, or approved make.
SEWAGE/DRAINAGE 25 PIPES, FITTINGS MANHOLE COVERS Vertical stacks and a horizontal pipes in sunk slabs etc. b Under plinth level and under ground horizontal pipes
Cast Iron RIF Brand.
P.V.C. pipes of Kisan make.
Water supply pipes & fittings
Galvanized iron Jindal make. Hot and cold separate mixers, divertors hand shower controls, spouts, flush valves and other allied conce-aled fittings requisite for full commissioning of above in Parko ‘Classic’ of double lever type in chrome finish as required Towel rails, toilet paper holder, face towel rings, set of hooks, shower curtain rod, one no. each per bathroom of parko make in stainless steel, W.C. seats covers to be of approved make/type. Stainless steel double/single sink with drain board on no. per kitchen, of Diamond/Nirali/A.M.C. make as approval SINTEX/UNITANK of approved capacity or masonry as per design Hindustan Sanitaryware/Parry/Neycer in white colour Ordinary range, one no. each per bathroom 2 mm thick AKG. Brand P.V.C. conduits Kalinga or approved make Indo Kupp make Vanguard boards/boxes as per design shutters. with
26 C.P. brass fitting
27 Bathroom fittings
Kitchen sink and 28 drainboard 29 Overhead tank 30 31 Sanitary ware i.e. washbasin Pedestals required, water closets and cisterns only
: : : : : : : : : : .
32 Electrical conduits 33 Electrical wiring 34 Main and mini circuit breakers
35 M.C.D. distribution board 36 Telephone/T.V. wiring 37 Electrical switches plates and boxes
Approved makes, Telephone Wiring for 2 lines. 38. Toyama in white colour.
38 All other materials
As per Architect’s approval
TECHNICAL STUDIES COST OF CONSTRUCTION & MANPOWER REQUIREMENTS: Calculated under following subheads Sub Head: Earth Work ITEM No. 1.1 DESCRIPTION OF ITEM Earth work in excavation over areas (exceeding 30 cm in depth. 1.5 mm in width as well as 10 sq.m plan) including disposal of excavated earth lead up to 50m, disposed earth to be leveled and neatly dressed: All kind of soil. Earth work in excavation in foundation trenches or drains (not exceeding 1.5 m in width or 10sqm on plan) including dressing of sides and ramming bottoms, lift up to 1.5 m including getting out the excavated soil and disposal of surplus excavated soil as directed with in a lead of 50 m:. All kind of soil Extra for excavation for depth beyond 1.5 M up to 3.0 M All kind of soil. Extra for excavation for depth beyond 3.0 M up to 4.5 M All kind of soil. Filling available excavated earth (excluding rock) in trenches, plinth, sides of foundation etc. in layer not exceeding 20 mm in depth : consolidating each deposited layer by ramming and watering lead up to1.5 m. Supplying and filling in Plinth with Jamuna sand under floors including, watering, ramming consolidating and dressing complete. Diluting and injecting emulsion for PRECONSTRUCTIONAL, ANTI TERMITE treatment and creating a continuous Chemical barrier under and all round the column pits, wall trenches, top surface of UNIT Cum QTY RATE AMOUNT
plinth filling, junction of wall and floor, along the external perimeter of building expansion joints, over the top surface of consolidated earth on which apron is to laid, surroundings of pipes and conduits etc. complete as per specifications (Plinth area of building at ground floor only shall be measured for payment). 1.6 Filling earth brought from out side (excluding rock) in trenches, plinth, sides of foundation etc. in layer not exceeding 20 mm in depth: consolidating each deposited layer by ramming and watering lead up to 1.5 m. LABOUR : Mate : .065 Beldar : .425 Coolie : .475 Waterman :.015 For spraying of termite treatment liquid: Beldar : 1.70 per litre Cum
Sub Head:-2.Concrete Work
ITEM No. 2.1
DESCRIPTION OF ITEM Providing and Laying in position cement concrete of specified grade excluding the cost of centering and shuttering all work up to plinth level. 1:4:8 (1cement :4 fine sand:8 grated stone aggregate 40mm nominal size) LABOUR : Foreman Beldar (M) Coolie (F) Mason Waterman : 0 .05 : 0.65 : 0.65 : 0.08 :.0.035
Providing and laying damp-proof course 40mm thick with cement concrete 1:2:4 (1 cement : 2 coarse sand : 4graded stone aggregate 12.5 mm nominal size)
LABOUR : Labour Beldar (M) Coolie (F) Mason Waterman 2.4
: 0 .04 : 0.70 : 0.70 : 0.07 : 0.035 RMt.
Extra for providing and mixing water proofing material in cement concrete work in the proportion recommended by the manufacturers.
Sub head: 3. Reinforced Cement Concrete
ITEM No. 3.l
DESCRIPTION OF ITEM Providing & laying in position specified grade of reinforced cement concrete excluding the cost of centering , shuttering finishing & reinforcement- All work up to all heights & all depths.(1:1.5:3) LABOUR : Foreman Beldar (M) Coolie (F) Mason Waterman : 0 .04 : 0.70 : 0.70 : 0.07 :.0.035
Reinforced cement concrete work of specified grade in walls ( any thickness) including attached pilasters buttresses, plinth &string courses, fillets, columns, pillars, piers ,abutments, posts & struts, etc excluding cost of centering , shuttering, finishing & reinforcement. LABOUR : Foreman Beldar (M) Coolie (F) Mason Waterman : 0 .045 : 0.75 : 0.75 : 0.075 :.0.035
Centering and shuttering including strutting, propping etc and removal of form for
Foundation, footing, bases of columns, etc. for mass concrete. LABOUR : Foreman : 0 .05 Carpenter : 4.70 Helper : 4.70 Walls (any thickness) including attached pilasters, buttresses, plinth and string courses etc. Suspended floors roofs, landing, Balconies and access platform LABOUR : Foreman : 0 .05 Carpenter : 4.70 Helper : 4.70 Shelves( cast in situ) Lintels, beams, plinth beams, girders, bressumers and cantilevers Columns, pillars, piers, abutments posts and struts. Stairs, (excluding landings) except spiral-staircases Extra for additional height in centering shuttering where ever required with Adequate bracing, propping etc. including cost of de- shuttering and decent ring at all levels, over a height of 3.5 m for every additional height of 1m or part there of ( Plan area to be measured)in suspended floors, roofs, landing, beams and balconies (Plan area to be measured). Reinforcement for R.C.C work including straightening, cutting, bending, placing in position and binding complete, using Cold twisted bars (considering the basic rate of steel as Rs. 26/- per Kg for 12 mm dia) LABOUR : Foreman : 0 .04 Bar bender : 0.50 Helper : 0.50 Add plaster drip course / groove in plastered surface or moulding to R.C.C projection
3.3.3 3.3.4 3.3.5 3.3.6 3.3.7
Sqm Sqm Sqm Sqm Sqm
Sub Head: 4 Brick Work ITEM NO 4.1 DESCRIPTION OF ITEM Brick work with bricks of class designation 75 in foundation and plinth in: Cement mortar 1 : 6 ( 1 cement : 6 coarse sand LABOUR : Mason 2nd Class : 0.50 Beldar (M) : 0.70 Coolie (F) : 0.70 Waterman :.0.25 4.2 Extra for brick work in superstructure above plinth up to all levels LABOUR : Mason Beldar (M) Coolie (F) Waterman 4.3 : 0.56 : 0.84 : 0.84 :.0.30 Sqm Cum UNIT Cum QTY RATE AMOUNT
Half brick masonry with bricks of class designation 75 in foundations, plinth and above plinth in cement mortar 1:4 (cement :4 coarse sand) LABOUR : Mason 1st Class : 0.50 Mason 2nd Class : 0.50 Beldar (M) : 0.50 Coolie (F) : 0.30 Waterman :.0.35 Extra for providing and placing position 2 nos 6 mm dia M.S. bars at every third course of half brick masonry. Brick work selected bricks of class designation 75 in exposed brick work including making horizontal and vertical grooves 10 mm wide 12mm deep complete in cement mortar 1:6 ( 1 cement: 6 coarse sand) in superstructure.
Sub Head: 5 Wood Works
ITEM NO 5.1
DESCRIPTION OF ITEM Providing and fixing flush door Shutters non decorative type, core of block board construction with frame of Ist class hard wood and well matched Commercial 3 ply veneers/ mica on both faces of shutters: 35mm thick including anodized aluminum butt hinges with necessary screws. LABOUR: Carpenter 1st Class : 0.35 Carpenter 2nd Class : 0.35 Beldar : 0.70
Extra for providing lipping with 2nd class teak wood battens 12mm minimum depth on all edges of shutters ( overall area of door shutter to be measured ) over item no 6.1
Sub Head: 6 Aluminium Work
ITEM NO 6.1
DESCRIPTION OF ITEM Providing and fixing anodized aluminium works for doors, windows, ventilators and partitions with extruded built up tubular and other sections of approved make conforming to IS: 733 and IS: 1285, anodized transparent or dyed to required shade acc. to IS: 1868, fixed with rawl plugs and screws or with fixing of clips, or with expansion hold fasteners including necessary filling up of gaps at junctions, at top, bottom and sides with required PVC/neoprene felt etc. Aluminium snap beading for glazing / paneling ,CP brass /stainless steel screws,all complete as per architectural drawings and the directions of
Engineer-in-charge (Glazing and paneling to be paid separately) For fixed portion For shutters of doors, windows & ventilators including providing and fixing hinges/pivots and making provision for fixing of fittings wherever required including the cost of PVC/neoprene required
Sub Head: 7 Flooring
ITEM NO 7.1
DESCRIPTION OF ITEM Granite Stone flooring with approved thickness of stone over 20mm (average) thick base of cement mortar 1:4 (1 cement: 4 sand) laid and jointed with grey cement slurry including rubbing and polishing complete LABOUR : Mason 1st Class : 0.25 Beldar (M) : 0.15 Coolie (F) : 0.15 Waterman :.0.015
Kota stone floor with 560 x560x35 supplied and laid with ordinary polish all complete LABOUR : Mason 1st Class : 0.25 Beldar (M) : 0.15 Coolie (F) : 0.15 Waterman :0.015 Extra for nosing in steps and treads of Kota stone slab Extra for Kota stone flooring in Steps and treads not exceeding 30 cm in width Mosaic Cement Tiles wit approved thickness with graded marble chips of size up to 12mm laid in floors, and landings, jointed e\with neat cement slurry mixed with pigment to match the shade of the tiles including rubbing and
7.2.1 7.2.2 7.3
polishing complete with precast tiles on 20mm thick bed of cement mortar 1:4. LABOUR : Mason 1st Class : 0.25 Beldar (M) : 0.15 Coolie (F) : 0.15 Waterman :0.015 7.3.1 7.3.2 7.3.3 7.3.4 Light shade using white cement Medium shade using 50% white cement and 50% ordinary cement Dark shade using ordinary cement Ordinary cement without any pigment Sqm Sqm Sqm Sqm
Sub Head: 8 Finishing
ITEM No 8.1
DESCRIPTION OF ITEM 15 mm cement plaster of mix: LABOUR : Mason 2nd Class : 0.135 Coolie (F) : 0.135 Waterman : 0.015 1:4 (1 cement: 2 coarse sand 2 fine sand.) 1:6 ( 1 cement : 2 coarse sand 4fine sand) Neat cement punning White washing with whiting to given even shade: New work ( three or more coats ) LABOUR : White Washer : 0.018 Helper : 0.018
8.1.1 8.1.2 8.2 8.3
Sqm Sqm Sqm Sqm
Distempering with oil bound washable distemper of approved brand and Manufacture to give an even shade. New work ( two or more coats ) over and including priming coat with cement primer LABOUR : Painter : 0.005 Helper : 0.005
Applying primary coat with ready mixed pink or grey primer of approved brand and manufacture on wood work ( hard and soft wood) LABOUR : Painter : 0.025 Helper : 0.025
Applying primary coat with ready mixed zinc or chromate yellow primer of approved brand and manufacture on steel galvanized iron / steel work. LABOUR : Painter : 0.025 Helper : 0.025 Painting with ready mixed paint of Approved brand and manufacture in all shades to give an even shade. LABOUR : Painter : 0.025 Helper : 0.025 Steel work (two or more coats). Wood work (two or more coats). Painting with synthetic enamel paint of approved brand and manufacture to give an even shade: Two or more coats on new work LABOUR : Painter : 0.070 Helper : 0.070
8.7.1 8.7.2 8.8
Sqm Sqm Sqm
Sub Head: 9 Miscellaneous Building Works
ITEM No 9.2
DESCRIPTION OF ITEM Providing M.S. foot rests including fixing in water storage tanks with 20 x 20 x 10 cm cement concrete blocks 1:2:4 (1 cement :2 coarse sand : 4 graded stone aggregate 20 mmNominal size) as per standard design. With 20 x 20 mm square bar.
Sub Head: 10 Road Work
ITEM No 10.1
DESCRIPTION OF ITEM Preparation of sub-grade by excavating earth to an average of 22.5 cm depth, dressing to camber and consolidating with road roller including making good the undulations etc. and disposal of surplus earth lead upto 50 meters Supplying and laying in two layer of 75 mm consolidated thickness each, water bound macadam with stone aggregate 90 mm to 45 mm including stone screening 13.2 mm size packed with mooram including screening, sorting, spreading to template and consolidation with power road roller of 8 to 10 tone capacity etc. complete Brick edging in full brick width and half brick depth including excavation, refilling and disposal of surplus earth lead upto 50 meters with brick of class designation 75 Supplying, making and fixing curb stone made of cement concrete 1:2:4 ( 1 cement : 2 coarse sand: 4 graded stone aggregate 20 mm nominal size) as per profile and of sizes 400x 200x150 mm average to the Sides of road and or to drain as per architect’s drawing and instructions, fixed with cement mortar 1:6 ( 1 cement : 6 coarse sand.) .
Sub Head:-11 Waterproofing ITEM No 11.1 DESCRIPTION OF ITEM Water proofing of R.C.C. structure by injection treatment , comprising of drilling holes of 50 mm dia. 40 mm deep at 1 meter C/C both ways on the entire R.C.C. floor and walls , opening construction joints by making groves so as to reach the reinforcement, fixed 25 mm dia. M.S. nozzles in these holes , after letting the nozzles set for 24 hours, water proofing slurry of low viscosity grout made up of organic monomers added with chemical UNIT Sqm QTY RATE AMOUNT
solution , with resultant grout having the same viscosity as water until it gets in concrete , is injected through nozzles under pressure till it reaches the adjoining holes on all sides so as to run through the minutest cracks of the entire structure , including removing nozzles and finished the entire surface with 40mm cement plaster 1:3 ( 1 cement , 3coarse sand ) mixed with stone aggregates on bottom slab and 20 mm thick on walls i/e of water proofing compound as per manufactures, specifications .(The entire operation as to be executed by specialize water proofing agency approved by the Architect )
Sub Head:-12 Roofing for shed
ITEM No 11.1
DESCRIPTION OF ITEM Providing Asbestos Cement 6mm thick corrugated sheets roofing and fixing with polymer coated J, or L hooks, bolts and nuts 8 mm dia. G.I. plain and bitumen washers complete excluding the cost of purlins, rafter and trusses. Extra for providing and fixing wind ties of 40x6 mm flat iron section Providing and fixing ridges and hips in AC sheet roofing (one piece plain angular ridges) .
Kg RMt. 65.00
FINANCIAL & ECONOMICS EVALUATION Seeing the above specifications, manpower, technology, project cost per sq.m comes out to be Rs. 6000/- of constructed part and open area comes out to be Rs. 3000/- per sq.m So, the total cost of development of the area comes out to be:
Cost of developing constructed part = 3000 X 6000 = 1, 80, 00,000/-
Cost of developing constructed part = 2000 X 3000 =
Total cost of development = 1, 80, 00,000 + 6, 00,000 = 2, 40, 00,000/-
It is given that: Finance raised by developer (equity) = Rs.10, 00,000/Finance from bank loan (Debt) Rate of Return = Rs.50, 00,000/- @ 8% p.a. = 18%
Seeing the technology and other resource scenario: Duration of project Overall tax rate = 1 year = 10%
Overall depreciation rate = 15% Revenue = Cost of land(given) – Cost of project = 5,00,00,000 – 1,80,00,000 = Rs. 3,20,00,000/( Rs. 1,80,00,000 can be earned by developer by selling the land he got)
So, the project in terms of finance comes out to be: Project Cost Project Duration Means of Finance: Equity = Rs. 10,00,000/= Rs. 2,40,00,000/= 1 year
Debt = Rs. 50,00,000/- (loan to be paid in one year) Interest Tax Depreciation Rate of return Revenue = 8% = 10% = 15% = 18% = 2,60,00,000/-
FINANCIAL VIABILITY OF THE PROJECT 1. NET PRESENT VALUE METHOD: N.P.V.= (Present Value of all years)- Initial investment Investment is advisable if N.P.V. is positive. This means project has generated returns more than the required rate of return
Total investment would be = 10, 00,000 + 1, 80, 00,000 = 1, 90, 00,000/(Rs. 1, 80, 00,000 can be earned by developer by selling the land he got)
A. Initial investment B. Operational flow Additional Revenue Depreciation (15%) Interest P.B.T.
Tax P.A.T. P.A.T. + Depreciation
C. Terminal flows Repayment of loan Total Flows (A+B+C) PV Factor at 18% P.V. of inflow N.P.V. 50,00,000/1,78,56,000/0.847 2,08,36,200/2,08,36,200 – 1,80,00,000 = 1,51,24,032/-
N.P.V. is positive. So, the project is financially viable.
2. INTERNAL RATE OF RETURN METHOD: It is that rate of return which equates “ Present Value of all the future flows” with initial investments.
With rate of return=18% A. Initial investment B. Operational flow Additional Revenue Depreciation (15%) Interest P.B.T. 3,20,00,000/36,00,000/4,00,000/3,02,00,000/-10,00,000 /-
Tax P.A.T. P.A.T. + Depreciation
C. Terminal flows Repayment of loan Total Flows (A+B+C) PV Factor at 18% P.V. of inflow N.P.V. With rate of return=16% A. Initial investment B. Operational flow Additional Revenue Depreciation (15%) Interest P.B.T. Tax P.A.T. P.A.T. + Depreciation 3,20,00,000/36,00,000/4,00,000/3,02,00,000/32,00,000/2,70,00,000/3,06,00,000/10,00,000 /-50,00,000/66,00,000/0.847 2,08,36,200/2,08,36,200 – 1,80,00,000 = 1,51,24,032/-
C. Terminal flows Repayment of loan 50,00,000/-
Total Flows (A+B+C) PV Factor at 18% P.V. of inflow N.P.V.
66,00,000/0.862 2,12,05,200/2,12,05,200 – 1,80,00,000 = 32,05,200/-
By interpolation: 16 + 2 X 32, 05,200 = 33.36 36, 9000
3. PAY BACK METHOD: Pay back period = Cost of Asset
-------------------------------------Earning or net cash flow per year 2, 40, 00,000 ---------------3, 06, 00,000
= 78 year = 941 months
4. AVERAGE RATE OF RETURN: Average Rate of Return: = Average Annual Earning after Depreciation and Taxes X 100 -----------------------------------------------------------------Original Investment = 2, 70, 00,000 ---------------2, 40, 00,000 = 112.5%
It is given that rate of return should be 18% but it is coming out to be 112.5%. So the project is financially viable. CONCLUSION:
It should always be seen that the project coming to the firm is financially viable or not. As shown in the assignment all the rates and manpower along with the direct and indirect costs such as hire charges of equipment, sundries and contingencies, w.c. and electricity, O.H. and C.P. should be added. Rates should be according to scheduled rates of the state with addition to the margins needed by the contractor. After that capital structure should be worked out. Then, seeing the inflows and outflows of funds financial viability viz techno economic feasibility should be taken out. Then only the project should be taken for execution and for further proposals.
NICMAR publication lesson books on Construction Finance Management and Cost Accounting McGraw Hill publication, Total Construction Project Management by George J. Ritz Butterworth-Heinemann publication, The Management of Construction by F. Lawrence Bennett, PE, PhD Butterworth-Heinemann publication, Civil Engineer Project Management by Alan C. Twort & J. Gordon Rees