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Construction cost / sqm thread

Discussion in 'Development' started by wombat777, 18th Oct, 2016.

  1. wombat777

    wombat777 Well-Known Member Premium Member

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    It would be helpful to build a view of construction costs that people are actually paying for current / recent builds in different regions.

    I'm interested in the wide range of construction types. Houses, townhouses, duplexes, units/low-rise, etc.

    Some details can be inferred from some of the development threads but there is probably other build activity going on that we can learn from.

    I suggest the following format:
    • Year of construction start:
    • Cost/sqm: ( ex GST )
    • Location: city/town/region
    • Construction type: ( ideally use the descriptions from the BMT cost tables )
    • Gross floor area / dwelling size: Floor area including garages, balconies, porches, etc
    • Design type: bespoke/custom or "shelf-design"
    • Level of specification: low / medium / high
    • Turnkey: yes/no
    • Fixed-price: yes/no
    • Notes: Any other relevant information, e.g. difficult site
    I'll kick it off with details from my custom/bespoke PPOR build in 2013
    • Year of construction start: 2013
    • Cost/sqm: $1082 ex-GST
    • Location: North-west Sydney
    • Construction type: 4br Brick veneer home, level block, two level, unique design
    • Gross floor area / dwelling size: 320sqm
    • Design type: bespoke/custom
    • Level of specification: medium
    • Turnkey: yes
    • Fixed-price: yes
    • Notes: Class 'H2' soil type, near-level site, inclusive of all floor coverings, timber blinds, landscaping, 6m driveway, existing fencing, 327sqm site. Base price $321k turnkey ( $381k 'tricked-up' ). Pricing was about 10-15% better than mainstream project-home builders at the time.
    Edit - added 'Fixed-price' to the template
     
    Last edited: 19th Oct, 2016
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  2. EN710

    EN710 Well-Known Member

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    My planned PPOR build for 2017 –project-home builder. You can definitely find builder that do cheaper than this for investment.
    • Year of construction expected to start: 2017
    • Cost/sqm: $1104 incl. GST
    • Location: Tarneit/ Truganina VIC
    • Construction type: 4br Brick veneer home, relatively level block (approx. 600-800mm slope across 32m, one level, standard design
    • Gross floor area / dwelling size: approx. 250sqm
    • Design type: pre-designed with some changes
    • Level of specification: medium (Caesarstone for kitchen and bathroom, 2.7m ceiling, quality appliances, full tiled ensuite and bathroom, etc)
    • Turnkey: no
    • Notes: Fixed site cost, inclusive of all floor coverings, 5m driveway, 512sqm site. Base price $217k (approx. $275k with site cost, upgrades and floor size expansion). Pricing was for end of 2015 contract sign off. Current base price is lower, but also with lower level of inclusions. Not including fencing, blinds and landscaping. Front landscaping included by land developer.
     
  3. Cactus

    Cactus Well-Known Member

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    2 x 2 Unit Development (bookended lots at end of court, built together, two lots of infra)
    • Year of construction start: 2016
    • Cost/sqm: $1294 ex-GST
    • Location: Outer South-East Melbourne
    • Construction type: 4 x 3br Brick veneer home, 3m fall across 70m (combined blocks), single level, unique design.
    • Gross floor area / dwelling size: 490sqm
    • Design type: bespoke/custom (but crap)
    • Level of specification: low
    • Turnkey: yes
    • Notes: Class 'H' soil type, sloping site (lots of retaining), inclusive of all floor coverings, holland blinds, landscaping excluded, 55m's of driveway, fencing, 501m2 & 499m2 land sites, 2 x drainage infrastructure.
     
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  4. wombat777

    wombat777 Well-Known Member Premium Member

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    @EN710 - buy how much cheaper was the other pricing you obtained? Was that for the same level of specification?

    @Cactus good to see some numbers for construction targeted at investment. Was low specification chosen to manage your cost or to suit the market? Are you intending to hold both properties or sell?
     
  5. EN710

    EN710 Well-Known Member

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    Cheaper builder usually have less inclusions so you can add per requirements (or sometimes different brand for the materials), I'm quite sure you can get on the mark of $900 per sqm (@sash would know better on what to expect I think). I was looking at mainly the mid-tier builders and they usually go to $1000 per sqm after some upgrades + electrical budget.

    Some initial comparisons
    upload_2016-10-19_12-38-32.png

    Inclusion-wise, it's very hard to compare. Some differences I noted:
    - Benchtop types (laminate as standard instead of Caesarstone)
    - Flooring inclusions (included/ not included) and range of inclusions (tiles/ carpet/ laminate)
    - Inclusions if ducted heating and/or evaporative cooling
    - # Appliances (e.g. some doesn't include microwave and dishwashers) and brand
    - Redraft fee (some charge this if you change the design
    - Type of HWS
    - Standard electrical inclusions
    - Fittings inclusions (e.g. some WIR doesn't include the fittings) and type
    - Look of the basic facades (some of the standards are butt ugly) and cost to upgrades (some builder charge $12K others $4K).
    - etc

    I chose the current builder back then because almost everything I wanted is a standard, that there is no tender process and they were flexible with some changes. It makes the process easier as I'm interstate.
     
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  6. Cactus

    Cactus Well-Known Member

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    Location:
    Melbourne
    • Year of construction start: 2016
    • Cost/sqm: $930 ex-GST (possible discount for building two identical homes with this builder at same time)
    • Location: outer south east Melbourne
    • Construction type: 4br Brick veneer home, level block, single level, modified volume design
    • Gross floor area / dwelling size: 205sqm
    • Design type: volume builder
    • Level of specification: medium
    • Turnkey: no
    • Notes: Class 'M' soil type, near-level site, inclusive of all floor coverings, 330sqm site. 2590 ceilings, stone, Evap, 900mm oven, WIP, double vanity, 900x1200 tiled showers, stacker doors to alfresco, colorbond roof, LEDs everywhere, extra GPOs everywhere, heat lamps to bathroom.
     
    Last edited: 19th Oct, 2016
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  7. Cactus

    Cactus Well-Known Member

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    Sold all off the plan targeted at a investor market all units were sub $350k with approx $55k net profit (pretax) per unit.

    Low spec in order to achieve price point and target low income investors.
     
  8. Cactus

    Cactus Well-Known Member

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    Location:
    Melbourne
    • Year of construction start: 2016 (about to start)
    • Cost/sqm: $960 ex-GST (some discount for building two with this builder at same time).
    • Location: outer south east Melbourne
    • Construction type: 4br Brick veneer home, level block, single level, volume design
    • Gross floor area / dwelling size: 172.5sqm
    • Design type: volume builder
    • Level of specification: medium
    • Turnkey: yes
    • Notes: Class 'M' soil type, near-level site, inclusive of all floor coverings, 304sqm site. 2590 ceilings, stone, Evap, 900mm oven, 900x1200 tiled showers, colorbond roof, landscaping, fencing, blinds, exposed aggregate driveway LEDs everywhere, extra GPOs everywhere, heat lamps to bathroom.
     
    Last edited: 19th Oct, 2016
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  9. sash

    sash Well-Known Member

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    I am building fully complete turnkey homes for $1100 to 1150 per sqm or about $10.500 per sq.

    The turnkey includes the following:

    1. Stone benchtops in the kitchen
    2. 2590 ceilings
    3. A/C (evaporative)
    4. Front and back landscaping and paths
    5. Downlights
    6. Built-ins in all bedrooms
    7. Laminate or Tile floors
    8. Some render to the facades
    9. Flood lights to outside
    10. Clothesline and letter box
    11. Fencing
    12. Data and telephone points (at least of each)
    13. Gloss finish to kitchen cabinets and ovreheads cupboards

    The only thing extra is Opticomm connectivity in some estates which I need to fork out about $500.


     
  10. EN710

    EN710 Well-Known Member

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    :eek: which builder? do you source fencing and landscaping yourself?
     
  11. boeman

    boeman Well-Known Member

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    Just for giggles, our base rate generally starts at $3300m2. By the time the job is handed over on site, clients spend $4500-$4700 for a 2 or 3 storey.
     
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  12. EN710

    EN710 Well-Known Member

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    What's different from regular builder? (Genuine question, I don't know how/ why they have such a huge difference)
     
  13. Colin Rice

    Colin Rice Mortgage Broker Australia Wide Business Member

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    Location:
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    • Year of construction start: early 2017
    • Cost/sqm: $1140
    • Location: Perth (Success)
    • Construction type: 3 bed brick and tile, single story at rear of existing IP.
    • Gross floor area / dwelling size: 148sqm
    • Design type: bespoke/custom
    • Level of specification: medium
    • Turnkey: yes
    • Notes: battleaxe block, flat sandy site.
     
  14. boeman

    boeman Well-Known Member

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    Anything you spend money on, they will spend 10 time this amount.

    Sounds like a stupid answer, but we have $40k custom integrated fridges and houses with $500k worth of cabinets and stone benchtops. We do a paving option that costs $500m2.
     
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  15. sash

    sash Well-Known Member

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    On some yes...some not.

    Have used Dennis Family...Burbank ...VIC H+L.....
     
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  16. wombat777

    wombat777 Well-Known Member Premium Member

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    Some great contributions so far!

    Anyone doing builds in states other than Vic and WA?

    What about costs for more complicated developments such as townhouses, plexes and unit-blocks?

    Also - if you put plans out to tender, what was the range of pricing you received?
     
  17. Colin Rice

    Colin Rice Mortgage Broker Australia Wide Business Member

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    Got 4 quotes back ranging from 190k to 210k so not a bad variation. Need to go through them and strip out the unnecessary items to bring the final quote price down a bit and then meet with 3 builders and start negotiating on the FPBC (fixed price building contract)
     
  18. wombat777

    wombat777 Well-Known Member Premium Member

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    Is this a PPOR or an investment?

    For my PPOR I met with my selected builder's tiler, electrician, carpet supplier and cabinet maker prior to signing the contract. I used those meetings to confirm the specification required up-front ( e.g. Increased floor tile allowances, increased number of led lights & power points ). That way I ensured it was a purely fixed-price contract.
     
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  19. Colin Rice

    Colin Rice Mortgage Broker Australia Wide Business Member

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    Its an IP to be built at the rear of an existing IP.

    Im using a building broker who knows all the tricks that builders pull. I got the optional extras separately itemized in the quote so I can deduct an exact figure to get a true FPBC.
     
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  20. wombat777

    wombat777 Well-Known Member Premium Member

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    Exactly the approach when I had my PPOR built. I wrote a specification for each area of the house. Also got them to provide itemised pricing for a range of options. Then allowed me to pick and choose what I wanted included in the contract.

    One thing I dropped was $10k for double-glazing to the living area ( north facing ). It would have been wasted money. The area is cool enough in summer.

    I was able to twist their arm to include Caesarstone benches in the pantry and laundry and no extra cost.

    In terms of builder tricks, the main differences I saw in pricing from the estimates / tenders I received:
    - some included an allowance of 100 lineal metres of piers
    - some included an allowance for pier depth to X metres
    - also X metres of drop-edged beams

    Hope the negotiations and build goes well and you get no excessive weather delays!

    Edit - on what basis do building brokers charge?
     
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