Property Depreciation and
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Quantity Surveyors - Cost Planning and Tax Depreciation
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The Quantity Surveyors role in the design and development process

Involvement in designing to a cost, rather than costing a design

Significant domestic and international increases in demand for building materials has led suppliers to request greater prices for their product. This combined with a lack of skilled labour, high world oil prices and soaring domestic labour costs has seen unprecedented increases in the cost of all types of construction across the sector, and the margins of builders come under serious pressure.

The quantity surveying profession has long been a source of expert advice on construction costs. The engagement of a qualified quantity surveyor enables a client to address material and labour price increases through value management processes that provide the following:

• Solutions that enable a developer to design and construct utilising materials that provide cost savings, while maintaining the intended quality and integrity of the product. For example, replacing non-load bearing concrete areas with hebel panels.

• Suggesting and providing cost options for areas where prefabricated products may be able to replace labour intensive onsite activities. For example, utilising pre-fabricated fibre cement wall panels instead of brickwork on internal walls, offering a significant time and potential cost benefit.

• Labour and time related preliminary costs can be reduced significantly by utilising offsite manufactured materials and prefabricated products, such as:

- Pre-fabricated flooring, reducing the volume of concrete used in floorslabs. Effective application of products such as these offer time, cost and labour advantages, and can often enhance the quality of the finished product.

- Pre-fabricated formwork assists in the vertical application of concrete, once again this offers time, cost and labour advantages.

The above items suggest areas to reduce construction costs once in a project’s construction phase. Price and margin pressures have led developers to seek the services of a quantity surveyor earlier in the design process. The following models demonstrate the evolving nature of the role of a quantity surveyor in the design phase of a project.

As the following models demonstrate, traditionally, a design would be costed and developed before a quantity surveyor has the opportunity to suggest design alterations providing significant cost savings. It is becoming regular practice for a quantity surveyor to communicate with architects and engineers at the initiation and design stage of a project, devising alternative systems of design that provide the most cost effective solution available. The effective use of this process ensures complimentary design, materials and labour are implemented and the greatest available value is achieved.

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