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Construction Cost Guide

A construction cost guide aids a contractor in determining how much they will need to pay in order to complete a commercial construction project to its design specifications. A construction cost guide details the total price of all aspects of construction, from the purchasing of materials to permitting, insurance, paying for blueprints, the hiring of subcontractors and the amount paid to construction workers. Following and researching the information in a construction cost guide in can be an in-depth, complex process as it requires a complete overview of all costs related to a project.

Reviewing a construction cost guide is a job normally handled by an estimator or accountant assigned by a general contractor to a specific project. No two estimates are the same, as requirements differ from one project to another, which makes this major step even more important.

During the traditional bid process, the information needed from the construction cost guide relates to construction only. There is information in a construction cost guide the cost of items like concrete for the foundation, cables for electrical wiring, flooring, plumbing, carpentry and HVAC (heating, ventilation and air conditioning). In the design-build process, developing a tally from the construction cost guide is more involved. In this process, an architect and general contractor combine as a team and present a building or project design and construction contractor services in one proposal. The design-build process is used by those who believe an architect-contactor team with a past history of working together would be more efficient and, as a result, cheaper than an architect and contractor working together for the first time.

The construction cost guide information compiled as part of a construction manager at-risk (CM at-risk) project falls in between the two. The architect is hired separately from the general contractor, but the contractor is involved in the project from the pre-construction process all the way through completion. The estimate comes in the form of a guaranteed maximum price, which covers all services rendered from pre-construction through the building process.

Construction cost guide software has largely replaced large books when it comes to determining the cost of construction, as they are able to complete the process more quickly and efficiently. There are a number of programs that can break down cost estimates into subsections, as well as delivering the overall total price.

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