Builders quotes??

[reggie]

Am hoping someone here can help us. We are building a 4 townhouse development in Regional NSW and are in dispute with our partners over our builders costs. This is our first project so have nothing for comparison at the moment.

Our townhouses are:
Living 160 SQM
Garage 39 SQM
Portico 9 SQM
Alfresco 45 SQM
TOTAL 253 SQM each

Tiled roof, rendered/painted walls on flat level site. Above average fitout. 3 bedroom,study, ensuite, WIR, ducted air & heat, dble garage.

We have a deal with a builder where he builds at cost in return for 1 townhouse. He is paying us $300k for his townhouse by way of credit for progress payments. The townhouses are listed with the agent for over $400k. So instead of us paying full retail building costs, we forego profit on one townhouse ($100k) & he will get his payment in the retail value of it.

Excluding driveway, landscaping, sewer & storm, fencing, survey & all electrical. His quote for construction is $187,000 each (including GST).

Now when we work out the cost per square metre, I am told that we take it all except alfresco into consideration. If this is correct then it works out almost $900 per sqm (incl GST).

Our builder assures us this is trade price but our partner thinks not and approached other builders who say it is full retail cost.

We are ready to start now and dont want any more hold ups.

Any opinions or suggestions would be greatly appreciated. THANKS

[bitingmidge]

If you have a deal with a builder where he gets one of four townhouses.... I'll do them for $185,000 each!!

Seriously, 25% margin for a builder is just a bit over the top!

It's not possible to even give a reliable ball park figure based on square metre rates, but if regional NSW is anything like regional Qld as far as building prices go, they seem pretty fair to me.

cheers,

P (if there were more customers paying 25% margins, I'd still be building! )

[mic-d]

I had a client the other day who was a quantity surveyor, seems from our chats that he was talking about you! I think for the extra $ this is exactly the situation when you need one. especially if you've never done this before.... or... I could be wrong...
Cheers
Michael

[maglite]

Try this link.
These guys will be able to help and there is heaps of info available.

www.archicentre.com.au

cheers
Steve

[ozwinner]

If you have a deal with a builder where he gets one of four townhouses.... I'll do them for $185,000 each!!

Seriously, 25% margin for a builder is just a bit over the top!

It's not possible to even give a reliable ball park figure based on square metre rates, but if regional NSW is anything like regional Qld as far as building prices go, they seem pretty fair to me.

cheers,

P (if there were more customers paying 25% margins, I'd still be building! )

If you get the gig Midge Ill do all the brickwork ( 4 units ) for a half share of the town house.
Then Ill have to give my brickie partner half of that, so ill end up owning a broom cupboard.

Al

[Terry1]

G/day reggie,I think your builder's price is pretty close to the mark.In fact it is very close to what it would cost in this (Wagga Wagga)area.I don't know if tradesmen are busy in your area but are in most at the moment which does affect the price of course.There are signs of things starting to slow a bit but costs are unlikely to go down in the near future.
Regards
Terry

[reggie]

Thanks heaps for all your replies.

I was trying to explain our builders deal uncomplicated. I will edit my first post to reflect this.

I omitted that he was paying us $300k for his townhouse by way of credit for progress payments. The townhouses are listed with the agent for over $400k. So instead of us paying full retail building costs, we forego profit on one townhouse ($100k) & he will get his payment in the retail value of it.

hmmm complicated!

[reggie]

G/day reggie,I think your builder's price is pretty close to the mark.In fact it is very close to what it would cost in this (Wagga Wagga)area.I don't know if tradesmen are busy in your area but are in most at the moment which does affect the price of course.There are signs of things starting to slow a bit but costs are unlikely to go down in the near future.
Regards
Terry

Thanks Terry,

Is that builders cost price?

Our dispute is whether he has added his profit onto the price - about 20% I am told.