a) Net Development Value

Net lettable area (85% of gross internal area)

3908m2 @RM350 3,908.00
Estimated rent (RM/m2) 350.00
Estimated Rental Value (ERV) 1,367,800.00
YP in perpetuity @ 8% 12.50
Gross Development Value (GDV) 17,097,500.00
Less disposal cost @ 2.75% of NDV 457,597.00
Net Development Value (NDV) 16,639,903.00

b) Development Cost
c) Land cost
Land price 2,900,000.00
Stamp duty 1.0% 29,000.00
Agent acquisition fee 1.0% 29,000.00
Legal fees on acquisition 0.5% 14,500.00
2,972,500.00

d) Building cost
Site clearnace and preparation works 50,000.00
Building cost
Estimated building cost
Gross area 4598m2 @ RM1421 per m2 6,533,256
External works 750,000.00
7,333,256
e) Professional fees
Architect 5.0% 366,662.82
Structural Engineer 2.0% 146,665.13
Quantity Surveyor 2.0% 146,665.13
M&E Engineer 1.5% 109,998.85
Project Manager 2.0% 146,665.13
916,657.06
Ancillary cost ‐

Building cost and Professional fee 8,249,914

Contigencies 1%of construction cost 73,333.00
Building cost and Professional fee & contingencies 8,323,247

f) Other costs
Site investigations 19,250.00
Planning fees 6,600.00
Building regulation 33,000.00
Bank's legal/professional fees 0.5% of NDV 83,200.00
Bank's arrangement fees 0.75% of NDV 124,799.00
Developer's legal fees 0.25% of NDV 41,600.00
308,449.00

Building cost and Professional fee & contingencies, other

costs 8,631,696

g) Finance costs
Interest on land costs over the development period and
void of 27 months 604,030.00
Interest on building costs, professional fees, other costs
and funding fees divided by half over building period of 12
months 369,834.00

Interest on building costs, professional fees, other costs

and funding fees over void period of 9 months 572,535.00
1,546,399.00
Building cost, Professional fees, Other cost and Finance
Costs 10,178,095

h) Letting and sale cost

Letting agents 15.0% of ERV 205,170.00
Promotion/ marketing 95,000.00
Developer's sales fee 1.5% of NDV 249,599.00
549,769.00

Building cost, Professional fees, Other cost,

Finance Costs and letting and sales costs 10,727,864

Total Development cost TDC 13,700,364

Developer profit 2,939,539

Developer's profit as % of TDC 21.5 %

Yield on development cost 10.0 %
Efficiency ratio 85%
gross internal area 4,598
Net lettable area 3,908.00 m2
Land cost 2,900,000.00
rental 350
Yield 8%
Construction cost 1421 per square metre
Disposal cost 2.75% of NDV
External works 750,000.00
Professional fees
Architect 5% of building and external costs
Strucutral engineer 2% of building and external costs
Quantity surveyor 2% of building and external costs
M & E engineer 1.50% of building and external costs
Project manager 2% of building and external costs
Ancillary costs ‐
Contingency 1% of building, external & ancillary costs and fees
Site investigations 19,250.00
Planning fees 6,600.00
Building regulations 33,000.00
Bank's legal/professional fee 0.50% of NDV
Bank's arrangement fee 0.75% of NDV
Developer's legal fee 0.25% of NDV
Interest rate 8.25%
Lead‐in period 6 months
Construction period 12 months
Void period 9 months
Letting agent's fees 15% of estimated rental value
Marketing 95,000.00
Acquisition costs
Stamp duty 1% site acquisition price
Agent's acquisition fees 1% site acquisition price
Legal fees on acquisition 0.5% site acquisition price
Developer's sales fee 1.50% of NDV
Site clearnace and preparation works 50,000.00