PRE-DEVELOPMENT COSTS

ITEM DESCRIPTION UNIT QTY RATE COST TOTAL COST

1 SOIL INVESTIGATION No 64 RM 2,500.00 RM 160,000.00 RM 160,000.00

1 acre = 4 boreholes
16.20 acres = 64 boreholes

2 PLAN & SUBMISSION FEES

a. Planning Fees
i. Residential Building, 1st 100 units Unit 100 RM 50.00 RM 5,000.00
ii. Residential Building, 2nd 100 units Unit 30 RM 45.00 RM 1,350.00
RM 6,350.00 RM 6,350.00
b. Building Plan Fees (refer Appendix) RM 13,250.00 RM 13,250.00

3 CONTRIBUTION TO LOCAL AUTHORITY

i. Tenaga Nasional Berhad (TNB) Unit 130 RM 750.00 RM 97,500.00

ii. Syarikat Bekalan Air Selangor (SYABAS) Unit 130 RM 75.00 RM 9,750.00

iii. Indah Water Konsortium (IWK) 1% RM 329,579.89

(1% of income)

iv. Jabatan Pengairan dan Saliran (JPS) Acre 16.20 RM 6,000.00 RM 97,200.00

v. Telekom Malaysia ™ Unit 130 RM 2,400.00 RM 312,000.00

RM 846,029.89 RM 846,029.89

4 CIDB LEVY (0.125% of construction cost) 0.125% RM 27,868.39

5 PROFESSIONAL FEES

i. Fees: 10% of construction cost 10% RM 2,229,471.31 RM 2,229,471.31

ii. Tax: 5% 5% RM 111,473.57 RM 111,473.57

6 MANAGEMENT & SUPERVISION FEES 2% RM 445,894.26 RM 445,894.26

(2% of construction cost)

7 LEGAL FEES 1% RM 329,579.89 RM 329,579.89

(1% of income)

8 ADVERTISEMENT & PROMOTION FEES 1% RM 329,579.89 RM 329,579.89

(1% of income)
TOTAL PRE-DEVELOPMENT COST RM 4,471,628.81
INFRASTRUCTURE COST

Item Description Unit Qty Rate (RM)

1 Site Preparation Acre 16.20 10,000.00
2 Earthwork Acre 16.20 20,000.00
3 Surface Water Drainage Acre 16.20 20,000.00
4 Sewerage Reticulation Acre 16.20 17,000.00
5 Sewerage Treatment Plant PE 650.00 573.00
Residential = 5 persons per house
130 unit @ 5 person = 650
6 Water Reculation Acre 16.20 17,000.00
7 Road works Acre 5.83 34,000.00
8 TNB substations (Single Chamber) Number 1.00 91,000.00
9 External M & E services Acre 16.20 25,000.00
10 Landscaping & turfing Acre 1.62 10,000.00
Total Infrastructure Cost
Total Cost (RM)
162,000.00
324,000.00
324,000.00
275,400.00
372,450.00

275,400.00
198,220.00
91,000.00
405,000.00
16,200.00
2,443,670.00
 CONVENTIONAL

ITEM DESCRIPTION GFA(m²) COST/m² GFA LANDSCAPE COST/ UNIT UNIT

A BUILDING COST
1 Intermediate unit 92 RM 1,170.00 RM 107,640.00 104
2 Corner unit 111 RM 1,170.00 130% RM 168,831.00 26
3 Surau 137 RM 1,005.00 RM 137,685.00 1
4 Community centre 600 RM 3,500.00 RM 2,100,000.00 1
5 Garbage house 24 RM 100.00 RM 2,400.00 1
TOTAL BUILDING COST
 TOTAL COST (RM)

RM 11,194,560.00
RM 4,389,606.00
RM 137,685.00
RM 2,100,000.00
RM 2,400.00
RM 17,824,251.00
 SUMMARY OF GDC (CONVENTIONAL)

Gross Development Cost (GDC)

ITEM COST (RM)

PRE-DEVELOPMENT COST

CONSTRUCTION COST

1 Building Cost RM 17,824,251.00

2 Infrastructure Cost RM 2,443,670.00

RM 20,267,921.00

3 Preliminaries
(10% of items 1-2) RM 2,026,792.10
RM 22,294,713.10

4 Design Reserve
(5% of items 1-3) RM 1,114,735.66
RM 23,409,448.76
TOTAL ESTIMATED GROSS DEVELOPMENT COST
TOTAL COST (RM)

RM 4,471,628.81

RM 23,409,448.76
RM 27,881,077.56
 TYPE UNIT (NO) GFA (M2) COST/M2 (ANALYSED)
INTERMEDIATE 104 92 RM2,489.21
END 26 111 RM2,601.95
TOTAL
SELLING COST (RM)
RM 23,816,761.28
RM 7,509,227.70
RM 31,325,988.98
 Days of Usage Average Cost
HALL
Weekdays Weekend Weekdays Weekend
Proposed Community Hall 4 2 RM5,500.00 RM6,000.00
Total Rent/month Total Rent/year
RM136,000.00 RM1,632,000.00
DISCOUNTED CASHFLOW RETURN ANALYSIS

Year
1
Total Cost
35
CASH INFLOWS
Sales of building unit 8,920,000.00

Total Cash Inflows 8,920,000.00 3,122,000.00

CASH OUTFLOWS

Building cost 5,120,268.72 2,560,134.36

Infrastructure cost 567,581.27 170,274.38
Pre-development and associated cost 883,236.58 618,265.61
Preliminaries 284,392.50 142,196.25
Contingencies and design reserve 298,612.12 149,306.06
Total Cash Outflows 7,154,091.19 3,640,176.66
Net cash flow 1,765,908.81 (518,177)
Discount factor @ 2% 0.9804
Discounted Net Cash Flow 1,595,735.49 (508,016.33)
`

The Net Present Value of the Project is : RM 1,595,735.49

DISCOUNTED CASHFLOW RETURN ANALYSIS

Year
1
Total Cost
35
CASH INFLOWS
Sales of building unit 8,920,000.00
Total Cash Inflows 8,920,000.00 3,122,000.00

CASH OUTFLOWS

Building cost 5,120,268.72

Infrastructure cost 567,581.27
Pre-development and associated cost 883,236.58
Preliminaries 284,392.50
Contingencies and design reserve 298,612.12
Total Cash Outflows 7,154,091.19 0.00
Net cash flow 1,765,908.81 3,122,000.00
Discount factor @ 2% 0.9804
Discounted Net Cash Flow 1,865,467.44 3,060,784.31

The Net Present Value of the Project is : RM 1,865,467.44

COMMENTS : Above are two options differing in the timing, Option A has an NPV of RM
1,595,735.49 while Option B is RM 1,865,467. Both options are profitable but Option B is
much more promising and worthy. The client may opt for Option B.
 SCHEDULE OF INCOME
2 3 4 5
30 20 10 5
YEAR

1
2,676,000.00 1,784,000.00 892,000.00 446,000.00 2

3
2,560,134.36 4
397,306.89 5
264,970.97
142,196.25
149,306.06
3,513,914.53 0.00 0.00 0.00
(837,915) 1,784,000 892,000 446,000
0.9612 0.9423 0.9238 0.9057
(805,377.29) 1,681,103.04 824,070.12 403,955.94

2 3 4 5

30 20 10 5

2,676,000.00 1,784,000.00 892,000.00 446,000.00

2,560,134.36 2,560,134.36
170,274.38 397,306.89
618,265.61 264,970.97
142,196.25 142,196.25
 149,306.06 149,306.06
0.00 3,640,176.66 3,513,914.53 0.00
2,676,000.00 (1,856,176.66) (2,621,914.53) 446,000.00
0.9612 0.9423 0.9238 0.9057
2,572,087.66 (1,749,116.72) (2,422,243.75) 403,955.94
SCHEDULE OF INCOME SCHEDULE OF PAYMENT

8,920,000.00 Description Amount %

% OF INCOME AMOUNT (RM) Building Cost 5,120,268.72 50%
Infrastructure
cost 567,581.27 30%
Other pre-
development
35% 3,122,000.00 cost 883,236.58 70%
30% 2,676,000.00 Preliminaries 284,392.50 50%
Contingencies
and design
20% 1,784,000.00 reserve 298,612.12 50%
10% 892,000.00
5% 446,000.00
SCHEDULE OF OPTION B

Description Amount %
Building Cost 5,120,268.72 50%
Infrastructure co 567,581.27 30%
Other pre-develo 883,236.58 70%
Preliminaries 284,392.50 50%
Contingencies an 298,612.12 50%
 1st Year % 2nd year
2,560,134.36 50% 2,560,134.36

170,274.38 70% 397,306.89

618,265.61 30% 264,970.97

142,196.25 50% 142,196.25

149,306.06 50% 149,306.06

3rd Year % 4th Year

2,560,134.36 50% 2,560,134.36
170,274.38 70% 397,306.89
618,265.61 30% 264,970.97
142,196.25 50% 142,196.25
149,306.06 50% 149,306.06