Feasibility Studies
Anderton Gables is highly trusted in all aspects of initial feasibility studies, cost models and development appraisals working on behalf of commercial clients across the UK.
Here is an overview of feasibility studies and development appraisals to shed light on what they are along with their importance within the construction industry.
Tom Hargreaves
Director
Catherine Newton
Director
Our approach to Feasibility Studies
When we use the term ‘feasibility’ in construction, what we are really asking as Quantity Surveyors, Project Managers and Construction Design Managers, is whether certain key elements of your proposed construction project will be achievable or not.
The four main factors for consideration within a construction feasibility study are the economic feasibility, timeframe feasibility, technical feasibility and the legal feasibility of the proposal.
Each of these components will be fully explored as part of the study, along with any other relevant factors that hold significance to the project.
We look to identify strengths or weaknesses within the current proposals, weigh up the costs that will be required and ascertain the value that can be obtained from the proposals. We take into account all of the information we uncover so that informed decisions can be made.
The study itself is presented as a comprehensive document that sets out to outline the findings in a technical yet engaging manner so that the initial objectives of undertaking the feasibility study can be reached.
Importance of a Feasibility Study in Construction Projects
The importance of feasibility studies within construction hinges on the simple concept of market research.
Information relating to construction feasibility needs to be obtained through expert knowledge of each particular consideration so that it can be fully relied upon, especially given the need to understand the economic viability at a given point in time and the likely outturn cost of a project.
Understanding the estimated cost of a construction project is often the driver to a successful project and most clients rely on robust current market costs.
Similar to researching whether a business idea has any viability based on the intended audience, the demand for the service, the costs involved and any legal implications that need to be understood - construction projects also need to be subject to careful thought and planning considerations.
As feasibility studies are carried out by experts in their field, this means all those involved in the project can get a true picture of whether the project is not only viable but will deliver as expected based on the original objectives of the project.
Being privy to a feasibility study prior to a project commencing is therefore an essential component of the project’s wider success.
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Why choose Anderton Gables to carry out a Feasibility Study?
Our knowledgeable experts will diligently assess each aspect of your project proposal.
As a respected independent third party, we will:
Determine Project Viability
Determine whether your project is viable outlining any challenges that would need to be considered prior to investment
Identify Potential Risks
Identify any potential projects or risk areas by conducting site visits and economic analysis as part of the comprehensive report we will produce for you
Advise on Specialist Requirements
Advise on any specialist input requirements or surveys to ensure as much information is considered as part of a comprehensive process
Adhere to all regulations
Carry out our services while ensuring all professional standards and regulations are adhered to throughout
Development Appraisals
Development appraisals are comprehensive written reports that outline the development potential of a particular site. They are designed to provide guidance to a client on how to proceed with aspects such as purchasing the site or the suitable usage types that could help the site realise its true market potential.
A client may wish to obtain a development appraisal at a very early stage of interest or to gain a further understanding of an existing owned asset.
While each development appraisal will have a unique set of considerations, some of the considerations a typical development appraisal may contain include:
Acquisition costs
Commercial marketing
Construction costs
Contingency
Environmental constraints
Funding costs
Infrastructure costs
Interest
Land value
Letting fees
Market values
Off-site services
Planning permission
Professional fees
Profit
Sale fees
Section 106 payments
Site remediation
Statutory costs
The initial section of a development appraisal will outline the reason for undertaking the appraisal outlining the brief.
As an example, some of the most common reasons the appraisal is needed to explore is whether the proposed scheme would be economically viable, or whether the proposed usage of the building or land would be appropriate. In addition, whether there are any environmental factors that would need to be considered.
All assumptions would be outlined within any report including cost and programme assumptions and an appraisal analysis. This comprehensive process would provide a clear set of findings and recommendations.
Like what you see? Let’s talk
We’re a friendly team of built environment specialists, here to support you with your construction projects and developments, with offices in Liverpool, Manchester and Preston.
If you are in search of experts who specialise in feasibility studies or development appraisals, we’re here to help.
To discuss your project requirements please get in touch with us.
Alternatively, give us a call on 0161 696 3119 to speak with our team.