What does a feasibility study cost estimate include before drawings exist?
A cost planning and feasibility studies package at concept stage gives a Class 5 order of magnitude estimate: gross floor area multiplied by assembly unit rates, plus site work, foundation and structural allowances, general conditions, design and owner contingency, escalation, and a written assumptions log naming every source.
Our Professional Cost Planning & Feasibility Studies
A feasibility estimate answers one question before design money is spent: can this site and this program carry the numbers the pro forma needs? We build that answer as an AACE Class 5 order-of-magnitude model, driven by gross floor area, building type, and published U.S. wage and price data, with every assumption written down. This work is quoted per project after we review the site information and program.
Each output is an Excel workbook and PDF summary with the unit, the measurement rule, and the arithmetic shown line by line. Where we use a rate from benchmark costs per square foot, the source and date are printed beside it so a lender or partner can trace it. That traceability is what separates a usable feasibility study cost estimate from a single number on a napkin.
Concept-stage quantity takeoff
At concept stage there are no drawings to measure, so we measure what exists: site area in acres, gross floor area in square feet, building footprint, number of stories, and the building envelope ratio of wall and roof area to floor area. Those quantities feed an assemblies-level material quantity takeoff built from typical assembly costs, not from a single blended rate. You receive the quantity basis in a table that shows each input, its unit of measure, and where the figure came from.
Trade labor pricing by building type
Labor is priced by trade from published wage data, then loaded with the crew mix and productivity the building type implies. A steel-framed mid-rise and a wood-framed walk-up carry different carpenter, ironworker, and electrician hours per square foot, and the model shows that difference rather than hiding it in a factor. The feasibility study output lists each trade's base wage, burden, and hours per unit so the labor line can be challenged and adjusted.
Bid-ready budget from schematic design
Once schematic design is firm, the Class 5 model converts to a line-item budget that can carry into a bid package. We re-measure the design, replace parametric allowances with priced quantities, and carry a design contingency sized to the remaining unknowns. The deliverable is a workbook with CSI MasterFormat divisions, marked-up drawing pages, and an assumptions log that a contractor can price against. At this stage the model hands off cleanly to a conceptual estimate that follows the design as it develops.
What Is Included in Our Cost Planning & Feasibility Studies Estimates?
Every feasibility study cost estimate we issue carries a basis of estimate document: the scope covered, the scope excluded, the source of each unit rate, and the date of the data. Nothing is priced without a stated measurement rule. Our construction cost estimating services team builds the model so the pieces are separated, letting a developer move a single line without rebuilding the whole sheet. The sections below show what the model contains and how that separation works.
Site work, foundations, structure, envelope and MEP systems
The model is organized by CSI MasterFormat division so scope gaps surface early. Typical components include:
- Division 31 and 33: clearing, grading, excavation, utilities, paving
- Division 03: footings, slab-on-grade, foundation walls
- Division 05: structural steel, joists, deck, or wood framing
- Division 07 and 08: roofing, wall assemblies, windows, doors
- Division 21, 22, 23 and 26: fire protection, plumbing, HVAC, power and lighting
Anything excluded, such as owner-furnished equipment or off-site utility work, is listed in the assumptions log rather than left silent. That log stays visible at every revision, so a reviewer can see which divisions moved between the first pass and the issued budget.
Gross floor area, envelope area, site acres and system counts
Quantities at concept stage come from program and massing, not from details. We calculate gross floor area by floor plate and story count, building envelope area from perimeter and height, roof area from footprint and slope, and site work from acreage and impervious coverage. System counts, such as plumbing fixtures, parking stalls, and elevators, are taken from the program so the mechanical and electrical allowances have a real driver. Each driver is written next to its quantity so a reviewer can trace the construction cost per square foot back to the massing it came from.
Materials, labor, equipment and cost breakdowns
Each line splits into material, labor, and equipment, with sales tax and freight called out separately where they apply. Labor carries base wage, burden, and productivity; equipment carries ownership or rental and operating cost. Above the line items sit general conditions, contractor overhead and profit, design contingency, owner contingency, and escalation to the midpoint of construction. Soft costs and land acquisition are shown in a separate column so hard costs stay clean for the pro forma. The budget estimate versus detailed estimate comparison explains where this level of detail sits.
Who Needs Our Cost Planning & Feasibility Studies?
A conceptual estimate for developers is a decision tool, and the audience for it is anyone who has to commit money before drawings are complete. Each group reads a different part of the workbook, so we structure the output by audience: a one-page summary for the investment committee, division-level detail for the contractor, and the assumptions log for the design team. Cost planning and feasibility studies serve all three, but each reader opens the sheet at a different row.
Pre-construction and development services firms
Firms that advise owners before design starts use the model to test a program against a site's likely cost. They need the order-of-magnitude range and the sensitivity of that range to story count, structural system, and parking ratio, which is exactly what a parametric early-stage cost model delivers. The output lets them present a go/no-go recommendation with the arithmetic attached.
General contractors and home builders
Contractors use the same model to sanity-check a negotiated or design-build target before committing to a stipulated sum. Builders comparing lot yields run gross floor area and envelope area against typical assemblies to see which option carries the lower shell cost. The division breakdown lets them swap their own crew rates into the labor lines and re-run the total.
Developers, architects and suppliers
Developers need the hard-cost number that plugs into the pro forma, plus a clear split between hard costs, soft costs, and land. Architects use the assemblies estimate to compare design options on a like-for-like basis during schematic design. Suppliers and manufacturers use the system counts, such as window units or fixture counts, to size their scope early. Our division-level estimating team page describes how the same workbook scales into later design phases.
Types of Cost Planning & Feasibility Studies Projects We Estimate
The go no-go construction cost analysis changes shape with building type because the cost drivers change. A wood-frame apartment building is driven by framing and envelope area; a warehouse is driven by site work and clear height; a treatment plant is driven by process equipment. We set the basis of estimate to match the type before any number is entered, and that discipline carries into every construction estimating service we price.
Residential projects
For multifamily and single-family work, the drivers are unit count, gross floor area per unit, story count, and the ratio of wall and roof area to floor area. Wood frame, podium, and steel frame carry different order of magnitude ranges, and the model shows which one the massing implies. Site work and parking structure cost often decide the deal, so those lines get their own sensitivity table.
Commercial buildings
Office, retail, hospitality, and institutional buildings are driven by envelope performance, mechanical system type, and finish level. The building envelope is typically the largest single swing item between a base scheme and a high-performance alternative, so we price wall and glazing assemblies separately. Tenant improvement scope is kept in its own section so a shell-only budget stays readable.
Industrial and infrastructure projects
Warehouses, manufacturing plants, and site infrastructure are driven by site work, foundations for heavy loads, process utilities, and clear height. Equipment procurement sits outside the construction budget and is listed as an exclusion rather than buried in a division. For these projects the order of magnitude range is wider, and the assumptions log states why. Send your plans through our quote request to start a model on a specific site.
Our Cost Planning & Feasibility Studies Estimating Process
We run cost planning and feasibility studies in three passes, and each pass leaves a paper trail you can audit. The first pass is an order of magnitude estimate class 5 under AACE International Recommended Practice 18R-97, which is a capacity-based or area-based figure with an accuracy range of -30% to +50%. At that stage we record every assumption in an assumptions log: gross floor area, number of stories, foundation type, site work scope and the code edition your jurisdiction enforces.
Nothing is priced from memory. When you send drawings through our conceptual estimating intake, we log the sheet list, the revision date and the drawing scale before any measurement starts, and we build the preliminary and conceptual estimates on that logged basis.
Submit drawings and specifications
Send the plan set, the civil or survey drawing, the geotechnical report if one exists, and any written program notes. A feasibility study at class 5 often arrives as a site plan and a floor plan with no sections, so we note what is missing and price the gap as an allowance rather than a quantity. Confirm the local code edition with the building department; we record the edition in the basis of estimate so the reviewer knows which requirements were priced.
Plan review and digital takeoff
We scale the drawings on screen, set the unit of measure for each assembly, and measure gross floor area, building envelope area and paved area. Site work is measured separately from the building pad so a change in parking count does not move the structural number. Each measured quantity carries a source reference to a sheet number and grid line, which is what makes the later check possible.
Cost calculation, quality checks and delivery
Unit rates are applied in a spreadsheet, then a second estimator re-measures a sample of lines and reconciles the total against the area-based check. We test the total against a construction cost per square foot benchmark for the same building type and flag any line that deviates before release. The workbook and PDF summary ship with the marked-up drawings and the assumptions log, so a reviewer can trace any total back to a measurement rule and a published data source.
Sample Cost Planning & Feasibility Studies Estimate and Deliverables
The example below is illustrative and does not describe your project. Assumptions: a 40,000 sq ft single-story light industrial shell, slab-on-grade, structural steel frame, 20 ft clear height, 60,000 sq ft of paved site work. The budget estimate for site acquisition work is carried as a separate line so the developer can see land and hard costs apart in the pro forma. Parametric estimating sets the shell rate; the foundation system is priced per square foot of slab area rather than per cubic yard at this stage because the geotechnical report is not yet issued. General conditions are carried as a percentage of hard costs, which is standard practice at class 5.
Arithmetic check: shell 40,000 sq ft × $95.00 = $3,800,000; site work 60,000 sq ft × $9.50 = $570,000; foundation 40,000 sq ft × $14.00 = $560,000. The three lines total $4,930,000, and 10% general conditions adds $493,000 for a hard cost subtotal of $5,423,000. A 12% design contingency adds $650,760, giving $6,073,760 before soft costs. The range column shows the same lines at the class 5 low and high bounds, which is the form this work takes before a single drawing exists.
| Item | Qty | Unit | Unit cost range | Extended range |
|---|---|---|---|---|
| Building shell, structural steel and envelope | 40,000 | sq ft | $85.00 – $105.00 | $3,400,000 – $4,200,000 |
| Site work, paving, utilities and grading | 60,000 | sq ft | $8.00 – $11.00 | $480,000 – $660,000 |
| Foundation system, slab-on-grade | 40,000 | sq ft | $12.00 – $16.00 | $480,000 – $640,000 |
| General conditions, 10% of hard costs | 1 | lump sum | — | $436,000 – $550,000 |
| Design contingency, 12% | 1 | lump sum | — | $575,520 – $726,000 |
| Total before soft costs and land | — | — | — | $5,371,520 – $6,776,000 |
Excel quantity takeoff sheet
One tab holds the measured quantities with the sheet reference, the unit of measure and the measurement rule used for each line. A second tab holds the rate build-up, and a third holds the assumptions log with an owner for every open item. Formulas stay live so you can change the gross floor area and watch the total move.
Marked-up drawings
The PDF set carries color-coded overlays: one color for measured areas, another for allowances taken without a drawing. Any line priced as an allowance rather than a measurement is circled on the sheet, which is the fastest way for a design team to see where the estimate is soft.
Itemized cost estimate
The itemized summary follows CSI MasterFormat divisions, with hard costs, general conditions, design contingency and soft costs shown as separate blocks. A one-page summary sits in front of the detail so a lender or investment committee can read the total without opening the workbook. The line structure set at this stage carries into schematic design, so our full-scope construction estimating team keeps the same divisions and units when the drawings arrive.
Software and Pricing Data We Use
A cost per square foot feasibility estimate is only as good as the rate behind it, so we separate the measurement from the pricing. Measurement happens in takeoff tools; pricing happens in a spreadsheet model where every rate shows its source, its date and the location factor applied. The chart below tracks the Producer Price Index series for the materials that dominate this scope, rebased to 100 so you can see which commodity moved hardest.
We do not carry a single national rate. Labor is adjusted from the wage table below by trade and by market, and material is adjusted by the index movement shown in the chart. That discipline is what makes cost planning and feasibility studies defensible when a lender or investment committee asks how a number was built.
Takeoff and estimating software
We work in three tool categories: PDF and on-screen takeoff for measuring areas and lengths off the drawing set, spreadsheet estimating for the rate build-up and the assumptions log, and commercial cost databases for benchmark unit rates by building type. The spreadsheet is the system of record because a reviewer can open a cell and see the formula. Marked-up drawings are exported from the takeoff tool so the measurement and the picture stay linked.
Regional material and labor pricing method
National average unit costs are the starting point, then adjusted with published U.S. Bureau of Labor Statistics wage data and Producer Price Index series for the location and trade mix. The structural frame carries a steel or concrete index adjustment; electrical and plumbing lines carry copper wire and cable movement. We add owner contingency as a line the owner controls, separate from the design contingency the design team controls, so the pro forma shows who holds which risk. Prevailing wage projects and occupied-building work get a further condition factor recorded in the basis of estimate.
Material price movement, Oct 2023 to Sep 2026
| Occupation | 25th percentile | Median | 75th percentile |
|---|---|---|---|
| Construction laborers | $18.57 | $22.66 | $28.72 |
| Carpenters | $23.32 | $29.12 | $36.94 |
| Electricians | $23.76 | $30.38 | $40.36 |
| Plumbers, pipefitters and steamfitters | $24.13 | $30.67 | $40.92 |
| Cement masons and concrete finishers | $22.60 | $27.41 | $32.15 |
| First-line supervisors, construction trades | $30.48 | $38.42 | $48.78 |
| Cost estimators | $29.40 | $37.86 | $48.97 |
Base wages before payroll taxes, insurance and benefits. Source: BLS Occupational Employment and Wage Statistics, national, all industries.
Why Contractors Choose Our Estimating Services
A feasibility number is a decision tool, and a decision tool has to survive a challenge from a lender, an investment committee or a competing design team. Our method is to show the unit rate, the quantity and the source for every line, so the challenge lands on an assumption you can see and change. Design option cost comparison estimating runs on the same model: swap the mechanical systems or the structural frame and the delta appears in the same workbook, not in a separate memo. Developers who need the same discipline applied to a later-stage package can use our professional budget estimating services on the same line structure.
Hard costs, general conditions and contingencies stay in separate blocks so nobody confuses a design allowance with a measured quantity.
Trade-specific expertise
Each division is priced by an estimator who works in that trade, so a mechanical line reflects equipment, distribution and controls rather than a lump sum per square foot. Site work is measured by cut and fill logic, not by a percentage of building cost. That granularity is what lets a developer move one line and trust the rest of the model.
Quality control and clear assumptions
Every estimate goes through a second-estimator review that re-measures a sample of lines and reconciles the total against an area-based benchmark. The assumptions log names each open item, the person responsible and the drawing needed to close it. Where a quantity is an allowance, the sheet says so.
Turnaround, communication and revisions
Delivery dates are agreed in writing when we accept the scope, based on the drawing set and the level of detail you need. Revisions are handled against the same workbook so the line structure and the audit trail survive the change. Send your plans through get a quote and we will confirm scope, deliverables and schedule before any work starts.
Cost Planning & Feasibility Studies Pricing
The fee for cost planning and feasibility studies is quoted per project after we review the drawings, the site information and the program. There is no rate card, because a 60,000 sq ft Class 5 order of magnitude study on a greenfield parcel and a schematic design budget for an occupied building are not the same document. We build the construction cost model for pro forma use from line items with units, rules and sources, so a developer can defend the number in an investment committee.
| AACE class | Typical stage | Contingency applied to base estimate | Example base estimate | Example budget range |
|---|---|---|---|---|
| Class 5 | Order of magnitude, pre-design | High end of range | $8,000,000 | $10,400,000 – $12,000,000 |
| Class 4 | Feasibility, program fixed | Mid to high | $8,000,000 | $9,200,000 – $10,400,000 |
| Class 3 | Schematic design | Mid | $8,000,000 | $8,800,000 – $9,600,000 |
| Class 2 | Design development | Low to mid | $8,000,000 | $8,400,000 – $9,200,000 |
| Class 1 | Construction documents | Low | $8,000,000 | $8,200,000 – $8,800,000 |
How quotes are calculated
We price the work by the scope of the estimate: number of drawing sheets, CSI MasterFormat divisions touched, number of design options to be compared, and whether a life cycle cost view is required alongside first cost. A go no-go study that needs only building envelope, site work and structural frame ranges takes less work than a schematic design budget that carries every division plus a general conditions build-up. Soft costs, land acquisition and financing sit outside our scope, but we structure the hard cost side so your pro forma can carry them in separate lines. Send the plans and program through our request a quote page and we will confirm scope before pricing.
What affects price and delivery time
Sheet count, trade count, alternates, addenda and the bid date drive both fee and turnaround. A study with three addenda and four design options takes longer than a single-option order of magnitude estimate on a complete set, and a fixed fee is confirmed only after plan review. The calculator below takes your base estimate and an AACE estimate class from 5 to 1 and returns a low and high contingency with a budget range; it does not price our fee. Expect the schedule to be confirmed with the quote, and tell us the decision date the study must support.
Contingency range by estimate class
- Low contingency
- $150,000 (10%)
- High contingency
- $300,000 (20%)
- Budget range
- $1,650,000 – $1,800,000
Typical planning ranges that follow the AACE estimate-class idea: less design, more contingency. Set the final figure from a risk review of your own project.
Cost Planning & Feasibility Studies Across the US
Every preliminary construction budget estimate we produce starts from national average unit costs and is then adjusted with published wage and price data for the project's labor market. Union and prevailing wage work on public projects can carry labor rates well above open-shop rates for the same trade, which moves the labor portion of concrete, framing and mechanical systems more than the material portion. Material delivery distance matters most for ready-mix concrete, structural steel and long-lead mechanical equipment, and freight shows up as a unit rate add rather than a separate line.
Climate and code edition change assemblies, not just rates: frost depth drives foundation system quantities, seismic and wind zones drive structural frame weight, and the locally adopted IBC or IRC edition plus state energy code can add insulation, glazing or ventilation scope. Confirm the code edition in force with the building department before the study is finalized. Our team works from one national desk for all states, so a developer comparing two markets gets the same basis of estimate and assumptions log on both, which is what makes cost planning and feasibility studies comparable across sites. Value engineering options are priced as alternates against the same base, which keeps a land acquisition decision tied to a traceable construction budget rather than a single blended number. For a deeper line-item view, see our construction estimating services.
Frequently Asked Questions
How much does a cost planning & feasibility studies estimate cost?
The fee is quoted per project after we review the plans, so it depends on gross floor area, number of design options compared, building type and how many assemblies need pricing. Send the site plan, schematic drawings and your pro forma target and we return a fixed quote with the scope of the cost model written out. No price is published in advance.
How long does a cost planning & feasibility studies takeoff take?
The delivery date is set when the quote is issued, based on the drawing set and the number of options you want priced. Schematic-level takeoffs move faster than design development sets with full envelope and mechanical breakdowns. We confirm the date in writing with the quote so your go/no-go decision meeting can be scheduled around it.
Do you estimate labor and material costs?
Yes. Every line carries a material cost and a labor cost built from a crew rate and a productivity factor, with the unit of measure stated beside it. Wage inputs come from published U.S. Bureau of Labor Statistics data and are adjusted for the trade mix on your project, then reviewed by an estimator before the workbook is released.
What drawings do you need?
For a Class 5 order of magnitude estimate, a site plan, a building program with gross floor area, and a use type are enough to start. Schematic design drawings improve the accuracy of envelope, foundation and structural frame quantities. Send whatever exists plus a short note on the decision the estimate supports.
Can you use my estimate template?
Send the template with the plans and we confirm whether the estimate can be delivered in it. Most Excel workbooks with a CSI MasterFormat structure map cleanly; templates with locked formulas or custom cost codes may need a mapping sheet. We confirm the format before plan review begins.
Do you sign NDAs?
Clients can request an NDA before sending drawings, and the terms are agreed before plan review starts. Send the document with your inquiry and we return it signed before any files are opened. Confidentiality terms are handled project by project rather than under a published standing policy.
What is the difference between a Class 5 estimate and a budget estimate for site acquisition?
A Class 5 order of magnitude estimate uses parametric ratios such as cost per square foot and carries the widest range, which suits early go/no-go screening. A budget estimate for site acquisition sits later, with measured quantities from schematic drawings and separate line items for site work, foundation system and structural frame. The basis of estimate states which class applies.
How do you handle escalation and contingency in a feasibility study cost estimate?
We escalate material and labor lines to the midpoint of construction using published producer price index movement by commodity group, and state the escalation rate in the assumptions log. Design contingency and owner contingency are listed as separate percentages rather than buried in unit rates, so you can flex them in your pro forma.
Can you compare design options in one construction cost model for pro forma use?
Yes. Each option gets its own column in the workbook with the same assembly structure, so a structural frame change or a different building envelope shows as a delta rather than a new document. The design option cost comparison estimating sheet totals hard costs, soft costs and contingency per option for direct entry into your pro forma.
What is included in cost planning and feasibility studies work at KNR?
Our cost planning and feasibility studies deliverable is an Excel workbook and PDF summary with marked-up drawing pages, showing the unit and measurement rule, the arithmetic and the public data source behind each line. It covers hard costs, general conditions, soft costs and contingency, with an assumptions log listing every exclusion.
Do you price soft costs and land acquisition in the same estimate?
We list soft costs as a separate section: design fees, entitlement and permitting, testing, insurance and financing carry, each with its own basis. Land acquisition is shown as a pass-through line you populate, not a number we invent. Keeping hard costs, soft costs and land apart lets you test each in the pro forma.
How do you handle a site with unknown foundation conditions?
We price a foundation system from an assumed soil profile and flag it in the assumptions log, with an alternate line for a deeper or more reinforced system. The delta between the two lines tells you how much geotechnical risk sits in the budget before you commit to acquisition. A soils report replaces the assumption when it arrives.