Cost Plan Stage 2 Level

Question 1

RIBA stage?

Answer 1

Formal cost plan RIBA Stage
1 2: Concept Design
2 3: Spatial Coordination
3 4: Technical Design

NRM 1, pg 54:
There are several formal cost planning stages, aligned with RIBA Stages 2, 3 and 4, and contractor engagement and OGC Gateways 3A and 3B for a building project. The client should approve the cost plan on completion of each RIBA Stage before authorising commencement of the next Stage.

Formal cost plan 1 is prepared once the scope of work is fully defined and key criteria specified, but no detailed design has commenced.
Formal cost plan 1 will provide the frame of reference for formal cost plan 2.

Likewise, formal cost plan 2 will provide the frame of reference for formal cost plan 3.
Neither formal cost plans 2 nor 3 involve the preparation of a completely new elemental cost plan: they are progressions of the previous formal cost plans developed through the cost checking of cost significant components and cost targets as more design information and information about the site becomes available.

Question 2

Information required/expected?

Answer 2

The information base of the building project continues to expand during the RIBA Stages 2, 3, 4 and OGC Gateways 3A, 3B and 3C as more project and design team, main contractor and
specialist subcontractor engagement and client interaction take place.
A list of the key information to enable preparation of formal cost plans is included in Appendix C.

Outcome: Architectural and engineering information spatially coordinated.
Detailed design studies and engineering analysis are undertaken to ratify the assumptions
made during Stage 2 and to layer more detail onto the design. Stage 3 is not about adjusting the
architectural concept, which should remain substantially unaltered, although detailed design
or engineering tasks may require adjustments to make sure that the building, or built asset,
is spatially coordinated.

Tasks: The quantity surveyor/cost manager is to:
1 Carry out cost exercises to allow more detailed aspects of the design, project strategies and
outline specification to be tested, using design studies and involving suppliers or specialist
subcontractors if necessary to determine affordability, and taking into consideration the
cost implications of achieving the project outcomes, including compliance with statutory
requirements.

Chat GPT:
NRM 1 Appendix C - Information Requirements for Formal Cost Plans

Cost Plan 2
Developed design drawings
Updated project brief
Detailed site investigation reports
Refined cost estimate
Detailed schedule of accommodation
Construction method statement
Project program
Risk register and mitigation measures
Preliminary specifications

Question 3

Measurement format expected? (eg GIFA, M2, Functional Unit)

Answer 3

This coincides with the completion of the design development. Formal cost plan 2 is a
progression of formal cost plan 1. It is developed by cost checking cost-significant cost
targets for elements as more detailed design information is made available by the design
team.
– Cost plan 2 will provide the frame of reference for cost plan 3.
– The key information from the client and other project and design team members to
enable preparation of formal cost plan 2 is set out in appendix C.
– The cost checks should be carried out against each pre-established cost target.
– Quantities for building works should be determined in accordance with Part 4 (group
elements 1 to 8).
– Where insufficient design information is available to quantify building works in
accordance with the rules of measurement for elemental cost planning, the quantity
measured should be the GIFA.

Question 4

Level of cost estimate expected?

Answer 4

This third formal cost plan stage is based on technical designs, specifications and detailed
information for construction. Formal cost plan 3 is a progression of formal cost plan 2.
It is developed by cost checking of cost-significant cost targets for elements as more
detailed design information is made available from the design team.
– Cost plan 3 will provide the frame of reference for appraising tenders.
– The key information from the client and other project and design team members to
enable preparation of formal cost plan 3 is set out in Appendix C.
– The cost checks should be carried out against each pre-established cost target.
– Quantities for building works should be determined in accordance with Part 4 (group elements 1
to 8).
58
NRM 1: ORDER OF COST ESTIMATING AND COST PLANNING FOR CAPITAL BUILDING WORKS
– Where insufficient design information is available to quantify building works in accordance
with the rules of measurement for elemental cost planning, then the quantity measured
should be the GIFA.

pg 72,
The tabulated measurement rules are based on four principal levels. Levels 1 to 3 in the rules
are headings under which actual work items (i.e. group element, element and sub-element) are
allocated. Level 4 is the rules of measurement for components.