Explanation of all the other cost heads in the Development Costs sheet

This section explains all the other cost heads in the Dev. Costs sheet including Other Land Acquisition Costs,  STATUTORY FEES & CONTRIBUTIONS, HOLDING & RUNNING COSTS, FINANCE - ANCILLARY COSTS, BUDGETING & ESTIMATION, DRAWINGS & CONSULTANTS, SITE REPORTS, PERMIT FEES, SELLING & MARKETING COSTS, SITE WORKS - DEVELOPER, CONSTRUCTION COSTS, and SERVICES CONNECTION FEES.

This section explains all the options in the Other Land Acquisition Costs section.

Other Land Acquisition Costs

In all these cost heads, all the blue cells are the input cells. 

If GST / VAT is applicable, that will be calculated and displayed in the last row of every section. 

In every section, the last but one row calculates the contingency based on the percentage of contingency entered for all the cost codes in the section.

Contingency - Land Acquisition

Different fields under Other Land Acquisition Costs are explained below:

1. Development Entity-Setup - The cost to set up a new trust or a new LLC to make a development.

2. Valuation-Pre Purchase - The valuation of a new trust or a new LLC which is done before purchasing the property.

3. Spotters Fee - The commission paid to an intermediary/agent for facilitating the deal.

4. Misc. Due Diligence - The complete survey of the property to gather all the knowledge and information that is useful for you before proceeding with the purchase.

5. FIRB Application - The application to get an approval, to buy the property, from the FIRB (Foreign Investment Review Board) which is an Australian government advisory board that reviews the purchase of residential or commercial real estate by someone who is not an Australian citizen, a permanent resident of Australia or an approved migrant.

6. Legal-JV/ Unitholders Agreement - The agreement between parties if the development project is a joint venture or the agreement between unitholders and the Unit Trust trustee.

7. Contingency-Land Acquisition - The clause that specifies that the offer is contingent on the buyer securing financing for the property. 

Select the Gross Amt, Contingency(%), Start Date, End Date, Duration, Forecast method and S-curve Rate for all the cost codes. 

Click Save And Refresh.

Total And End date

The Total and End date will be calculated and forecast that amount into the required month in cash flow.

STATUTORY FEES & CONTRIBUTIONS

ERROR Message in Forecast Column

Here it is showing the ERROR message, because there was an amount without Start Date.

Council Contributions

Select the start date, forecasting method and S-curve rate. Click the Save And Refresh.

Error message will be changed to OK.

Statutory Fees & Contributions

These are all the different costs that you can forecast into your cash flow.

Enter all the values and click Save And Refresh.

All the calculations will be done and forecast in the cash flow.

Cost Heads

Note: All the cost heads are exactly the same except for SELLING & MARKETING COSTS and CONSTRUCTION COSTS.

SELLING & MARKETING COSTS

Selling and Marketing Costs

There are different kinds of Selling and Marketing Costs under this cost head including Advertising, 3D-Renders Artist Impression, Brochures & Printing, Display Suite, Interior Designer, Legals-Contract Of Sales, Marketing Listing and Hoarding, Material & Finishers Board, Misc- Selling And Marketing, Owners Corporation, Website, Website Advertising,  Leasing Cost, Rental Guarantee Cost, Stamp Duty Paid By The Developer, Misc- Selling Incentives, Title Office Fees, and Printing. All these are costs that you can manually enter values for.

However, the cost, in the last but second row, Agents Commission @ Signing is not an input cell. It is in black colour which means that you should not edit it. In case you want to edit it, then you must change it in all the other sheets wherever it has been used.

The Agents Commission @ Signing field picks up all the commission that you have to pay at the time of signing only.

Agents Commission @ Signing

CONSTRUCTION COSTS

Construction Costs

The costs under the CONSTRUCTION COSTS include Construction Cost-Excl Contingency, Building Contract Progress Claim, Building Contract Variations, Construction Cost Basements, Contingency Construction Costs, and Builder’s Margin.

You have to enter values for these costs manually.

However, Gross Amt. values for the costs Construction Costs - Commercial and Construction Costs - Residential will be picked up automatically. 

Enter the contingency for Construction Costs - Commercial and Construction Costs - Residential fields. 

The total contingency of the construction will be calculated and displayed in the Contingency - Construction Costs field.

The Start Date, Duration, and End Date for the costs Construction Costs - Commercial and Construction Costs - Residential will also be picked up automatically 

Select the required options from the Forecast and S-Curve Rate dropdown lists. Based on these values the forecast will be calculated and distributed for the construction period.

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