This Mitchell Brandtman Quarterly Construction Cost Update
has been put together to help keep you informed on the
movements of the market to better position yourself for your
current and future projects.
For more information, please contact Colin Prince: cprince@mitbrand.com
On November 13th, Mitchell Brandtman Partner
Tass Assarapin led the Financiers’ Construction Market Update Presentation for
our NSW clients, focusing on key strategies for navigating within today’s
construction industry.
Key takeaways included:
Contractor Suitability & Careful Planning: Emphasis was placed on selecting suitable contractors and investing in detailed planning to ensure favourable project outcomes.
Market Trends & Future Outlook: Clients gained insights into current trends and future expectations for building approvals, labour, and material costs, essential for forward planning.
Risk Management in Procurement: Tass highlighted the importance of prioritising strong risk management practices to mitigate potential project risks.
Thank you to all who attended and contributed to the success of this insightful event!
Mitchell Brandtman has you covered…
Now is the time to start thinking about your projects and in particular your obligations prior to Christmas 2024 and your plans for the New Year.
One of the most critical obligations to plan for leading into Christmas are Progress Claims/Payments, so we have put in place a target date of Wednesday 11th December 2024 being the last day for all site inspections and all progress claim information. This will ensure all reports are completed and issued prior to Christmas shutdown which is the 21st of December 2024 to the 5th of January 2025.
Remember to also discuss timing dates for payments with the rest of your project team and specifically, your Financier to ensure obligations can be met through this period.
Looking at commencing construction early in the New Year? To ensure we can cater for your project’s pre-funding requirements, we have set a target date of Monday 2nd of December 2024 to receive all required information for Pre-Funding Initial Reports. This will ensure that any new Initial Reports are issued prior to the Christmas shutdown and will help you hit the ground running in 2025.
We understand that it is not always possible to predict when a report or assessment will need to be done. So, if you have any concerns, please do not hesitate to give us a call, right up until 11am Friday, 20th of December 2024 and we will be happy to talk through how we can help.
Please contact our team at MB to book your Pre-Christmas inspections / reports.
Our office will be closed from 21st of December 2024 and will re-open on Monday, the 6th of January 2025.
We hope you have a very Merry Christmas and a safe and happy holiday.
Participation in our Melbourne Cup 2024 Sweeps is by invitation only!
As a thank you for your continued support and business, we extend to you our sweeps for a chance to win a gift voucher!
Best of luck to all who enter!
Please check your email inbox for details and terms and conditions for entering the sweeps.
This Mitchell Brandtman Quarterly Construction Cost Update
has been put together to help keep you informed on the
movements of the market to better position yourself for your
current and future projects.
For more information, please contact Colin Prince: cprince@mitbrand.com
A Tax Depreciation Schedule by Mitchell Brandtman is a risk-free and valuable tool for any property owner. We provide tax depreciation advice and Australian Taxation Office (ATO) compliant depreciation schedules that help property owners invest more wisely and build wealth.
On 30th of May, 2024, Mitchell Brandtman hosted a client party to thank our clients and contacts at the QT Rooftop in Melbourne.
What a great night!
We thank you for your continued support and look forward to working with you all into the future.
This Mitchell Brandtman Quarterly Construction Cost Update
has been put together to help keep you informed on the
movements of the market to better position yourself for your
current and future projects.
For more information, please contact Michael Ehmer: mehmer@mitbrand.com
In 2023 Mitchell Brandtman began the process of refreshing it’s brand. Through extensive research gathered to provide insights about our brand – how our clients see us, and how we see ourselves – we discovered our true purpose, position, unique selling proposition, and brand story.
What this process uncovered is that at its core, Mitchell Brandtman is about enabling success for all of its stakeholders:
In an effort to streamline the calculation of development costs, the NSW Government has introduced a new method called “Estimated Development Cost” or EDC. EDC will now replace previously used terms such as “Cost of Development” and “Capital Investment Value (CIV)”, which have been made redundant. As of March 4th 2024, the EDC is being used by professional bodies working with the NSW Government.
What is Estimated Development Cost (EDC)?
EDC was created as a simpler, easier, and more transparent way to estimate the development cost of a project and will now be used across the planning system. The implementation of the EDC will alter the way fees are calculated for developments across local, regional, and state-significant development.
The EDC of a proposed project will play a crucial role in many planning aspects, most significantly by:
• Determining the appropriate development approval pathway,
• Calculating the associated assessment fees, and
• Dictating specific Development Application (DA) requirements.
How was EDC created?
The EDC reform aims to respond to the Independent Commission Against Corruption’s Operation Dasha report, which recommended changes to the development process. These changes were primarily brought about the increase transparency of development costs of projects and reduce the risk of corruption.
The Department of Planning, Housing and Infrastructure (DPHI) is implementing this change by amending the Environmental Planning and Assessment Regulation 2021 and other relevant planning policies.
Where does EDC apply?
As the new primary system for determining project costs, EDC will be implemented on projects across different industries and categories, including:
Rules for Using EDC
As with all new Policy and Legislation, rules and laws have been put in place to govern the necessity of EDC. Mitchell Brandtman has provided a guide for EDC requirements below:
Projects Costing more than $3 Million
On projects that have a value of more than $3 million, an EDC report must be prepared by a Qualified Quantity Surveyor (AIQS/RICS member etc.) Additionally, the EDC Report must follow the AIQS Practice Standard.
State Significant Applications
For projects that are considered State Significant Applications, and EDC report must be created in line with the AIQS Practice Standard by a Qualified Quantity Surveyor. The EDC must be submitted in the “Standard Form of EDC Report – State Significant Projects” and dated within 30 days of submission.
Projects Costing less than $3 Million
On projects with a value of less than $3 million, Planning NSW recommends preparing a Cost Estimate Report at a minimum. Please note that projects conducted with Individual Councils will also have specific application requirements which must also be followed.
How can Mitchell Brandtman help?
Mitchell Brandtman understands that the introduction of the EDC legislation could be a source of difficulty for many of our clients. To this end, we have ensured that our experienced team of Quantity Surveyors is fully aware of the EDC reporting requirements.
Detailed Project Knowledge: Mitchell Brandtman goes beyond following guidelines. Each project is treated uniquely, and we will work closely with our valued clients to ensure we have a full understanding of the needs of development. This will allow us to create and deliver bespoke EDC reports that seamlessly align with the project objectives.
Unmatched Experience: Our team is made up of expert Quantity Surveyors, with years of knowledge in the industry. Each of our team members is accredited by the AIQS and will leverage their extensive construction and development knowledge to deliver accurate and compliant EDC reports that meet all regulatory requirements.
Efficiency & Peace of Mind: Mitchell Brandtman understands the importance of efficiency throughout the development approval process. As such, we have tailored our approach to EDC reporting to ensure a timely delivery for our clients – achieved by minimising delays to enable successful completion. This allows our clients to focus on their primary goal, bringing projects to life, with the peace of mind that comes from knowing your EDC reporting is in expert hands.
To find out more information about the Estimated Development Cost Report visit this link.
