Project Cost Estimation
Sizing the capital the project needs - from the ground up.
Project cost estimation builds the bottom-up capital cost of a hospital project: the cost components from land and construction to systems, equipment and professional fees, the quantities and rates that drive them, and the assumptions and benchmarks that keep the estimate credible. It produces the project's capital cost base that budgeting, funding and financial feasibility then use.
What this service covers
- Capital cost breakdown by component
- Land, construction and civil works costs
- Building systems, MEP and interiors
- Medical equipment and furniture costs
- IT, HMIS and technology costs
- Professional fees, approvals and permits
- Quantity and rate basis for major items
- Benchmark and cross-check against comparable projects
- Contingency and escalation provisions
- Documented estimation framework
Our process
- Define the project scope and cost structure
- Build quantities and rates for major components
- Add equipment, technology and fees
- Benchmark and cross-check the estimate
- Apply contingency and escalation
- Document the estimation framework
Frequently asked questions
How is project cost estimation different from cost planning?
Cost planning structures costs into categories, assumptions and controls. Project cost estimation produces the bottom-up figures themselves - the quantities, rates and components that make up the project's capital cost.
How is it different from financial feasibility?
Financial feasibility tests whether the whole financial case holds. Cost estimation is the capital cost build-up that financial feasibility takes as an input.
How accurate does an estimate need to be?
Accuracy depends on scope definition; the framework makes the basis explicit - quantities, rates, benchmarks and contingency - so the confidence level is clear.
What drives most of the cost?
Usually construction, building systems and medical equipment; those components get the most detailed quantity and rate treatment.
What does the customer receive?
A bottom-up capital cost estimate with the component breakdown, basis, benchmarks and contingency.