|
2002 Feasibility Study:
Report
Financial Analysis
Construction and Renovation Cost Estimates for the Three Proposed Options
|
Item |
Min. Maint. |
Partial |
Full |
Remarks |
|
& Replacement |
Program |
Program |
|
|
|
|
|
|
|
Maintenance and Replacement: |
|
|
|
|
|
Smoking Shed |
10,000.00 |
10,000.00 |
10,000.00 |
|
|
Update Computer System |
70,000.00 |
70,000.00 |
70,000.00 |
|
|
Update Nurse Call System |
100,000.00 |
100,000.00 |
Included |
Incl. in new construction cost |
|
Update Security System |
40,000.00 |
40,000.00 |
40,000.00 |
|
|
Update Telephone System |
60,000.00 |
60,000.00 |
60,000.00 |
|
|
Replace Fire Alarm System |
0.00 |
55,000.00 |
55,000.00 |
|
|
Replace Laundry Washers |
0.00 |
40,000.00 |
40,000.00 |
|
|
Replace Existing Roof |
565,000.00 |
565,000.00 |
565,000.00 |
|
|
Replace Existing Windows |
63,000.00 |
63,000.00 |
63,000.00 |
|
|
Kitchen Serving Line, Refrigerator and
Toilet |
8,000.00 |
33,000.00 |
33,000.00 |
|
|
Outdoor Activities |
35,000.00 |
35,000.00 |
35,000.00 |
|
|
General Improvements |
0.00 |
150,000.00 |
150,000.00 |
|
|
|
|
|
|
|
Renovations and Additions: |
|
|
|
|
|
Renovation of Dining Room |
0.00 |
125,000.00 |
125,000.00 |
|
|
New Lobby and Main Entrance |
0.00 |
195,000.00 |
195,000.00 |
|
|
Business Office and Staff Addition |
0.00 |
465,000.00 |
0.00 |
|
|
Med. Offices, Laundry, and Trash Rm.
Add. |
0.00 |
750,000.00 |
0.00 |
|
|
Addition of Private Rooms to Exist. SNF |
0.00 |
495,000.00 |
0.00 |
|
|
Heating, Ventilation and Air
Conditioning |
525,000.00 |
525,000.00 |
525,000.00 |
|
|
Renovation of Wings A & B to Adult Home |
0.00 |
0.00 |
1,310,000.00 |
|
|
Renovation of Wing C to Office and
Service |
0.00 |
0.00 |
565,000.00 |
|
|
Replacement of 120 Skilled Nursing Beds |
0.00 |
0.00 |
9,828,000.00 |
|
|
Total Construction Costs: |
1,476,000.00 |
3,776,000.00 |
13,669,000.00 |
|
The above construction estimates contain only the actual costs of
labor and material.
In the following chart, we have added in the other costs and
contingencies to reflect the total project costs.
Total Project Cost Estimates for the Three Proposed
Options
|
Item |
Min. Maint. |
Partial |
Full |
Remarks |
|
& Replacement |
Program |
Program |
|
|
|
|
|
|
|
Total Construction Costs: |
1,476,000.00 |
3,776,000.00 |
13,669,000.00 |
|
|
Estimating and Design Contingency (10%) |
147,600.00 |
377,600.00 |
1,366,900.00 |
|
|
Sub Total: |
1,623,600.00 |
4,153,600.00 |
15,035,900.00 |
|
|
Architectural Fee (6%) |
97,416.00 |
249,216.00 |
902,154.00 |
|
|
Construction Management Fee (5%) |
81,180.00 |
207,680.00 |
751,795.00 |
|
|
Furnishings (Adult Home) |
0.00 |
0.00 |
176,000.00 |
|
|
Furnishings (Skilled Nursing) |
0.00 |
120,000.00 |
600,000.00 |
Except recently replaced electric beds |
|
Sub Total: |
1,802,196.00 |
4,730,496.00 |
17,465,849.00 |
|
|
Financing and Construction Interest (6%) |
108,131.76 |
283,829.76 |
1,047,950.94 |
|
|
Total: |
1,910,327.76 |
5,014,325.76 |
18,513,799.94 |
|
The above project cost estimates were compiled without the benefit of
architectural or engineering plans or specifications.
The scope of the work was derived from the Feasibility Study Meetings
and from our 40 years of medical construction management experience.
All new construction was considered to be one story, slab on grade,
with a flat roof.
The project cost estimates were projected forward to reflect
2004-2005 construction costs, based on the average cost escalators over
the past 10 years.
On the following pages is the allocation of the full program costs
between the Nursing Home and the Adult Home.
Full Program Construction and Renovation Cost
Estimates Allocated to the Nursing Home and the Adult Home
|
Item |
Full |
Nursing Home |
Adult Home |
Remarks |
|
Program |
Costs |
Costs |
|
|
|
|
|
|
|
Maintenance and Replacement: |
|
|
|
|
|
Smoking Shed |
10,000.00 |
8,500.00 |
1,500.00 |
Allocated by number of staff |
|
Update Computer System |
70,000.00 |
51,219.51 |
18,780.49 |
Allocated by number of beds |
|
Update Nurse Call System |
0.00 |
|
|
|
|
Update Security System |
40,000.00 |
20,000.00 |
20,000.00 |
Allocated by sq.ft. of existing building |
|
Update Telephone System |
60,000.00 |
43,902.44 |
16,097.56 |
Allocated by number of beds |
|
Replace Fire Alarm System |
55,000.00 |
27,500.00 |
27,500.00 |
Allocated by sq.ft. of existing building |
|
Replace Laundry Washers |
40,000.00 |
33,802.82 |
6,197.18 |
Allocated by beds and use |
|
Replace Existing Roof |
565,000.00 |
282,500.00 |
282,500.00 |
Allocated by sq.ft. of existing building |
|
Replace Existing Windows |
63,000.00 |
31,500.00 |
31,500.00 |
Allocated by sq.ft. of existing building |
|
Kitchen Serving Line, Refrigerator and
Toilet |
33,000.00 |
24,146.34 |
8,853.66 |
Allocated by number of beds |
|
Outdoor Activities |
35,000.00 |
17,500.00 |
17,500.00 |
Allocated by sq.ft. of existing building |
|
General Improvements |
150,000.00 |
109,756.10 |
40,243.90 |
Allocated by number of beds |
|
|
|
|
|
|
Renovations and Additions: |
|
|
|
|
|
Renovation of Dining Room |
125,000.00 |
|
125,000.00 |
|
|
New Lobby and Main Entrance |
195,000.00 |
142,682.93 |
52,317.07 |
Allocated by number of beds |
|
Business Office and Staff Addition |
0.00 |
0.00 |
0.00 |
|
|
Med. Offices, Laundry, and Trash Rm.
Add. |
0.00 |
0.00 |
0.00 |
|
|
Addition of Private Rooms to Exist. SNF |
0.00 |
0.00 |
0.00 |
|
|
Heating, Ventilation and Air
Conditioning |
525,000.00 |
384,146.34 |
140,853.66 |
Allocated by number of beds |
|
Renovation of Wings A & B to Adult Home |
1,310,000.00 |
0.00 |
1,310,000.00 |
|
|
Renovation of Wing C to Office and
Service |
565,000.00 |
413,414.63 |
151,585.37 |
Allocated by number of beds |
|
Replacement of 120 Skilled Nursing Beds |
9,828,000.00 |
9,828,000.00 |
0.00 |
|
|
Total Construction Costs: |
13,669,000.00 |
11,418,571.11 |
2,250,428.89 |
|
The above construction estimates contain only the actual costs of
labor and material.
Total Project Cost Estimates for the Full Program
Allocated to the Nursing Home and the Adult Home
|
Item |
Full |
Nursing Home |
Adult Home |
Remarks |
|
Program |
Costs |
Costs |
|
|
|
|
|
|
|
Total Construction Costs: |
13,669,000.00 |
11,418,571.11 |
2,250,428.89 |
|
|
Estimating and Design Contingency (10%) |
1,366,900.00 |
1,141,857.11 |
225,042.89 |
|
|
Sub Total: |
15,035,900.00 |
12,560,428.22 |
2,475,471.78 |
|
|
Architectural Fee (6%) |
902,154.00 |
753,625.69 |
148,528.31 |
|
|
Construction Management Fee (5%) |
751,795.00 |
628,021.41 |
123,773.59 |
|
|
Furnishings (Adult Home) |
176,000.00 |
0.00 |
176,000.00 |
|
|
Furnishings (Skilled Nursing) |
600,000.00 |
600,000.00 |
0.00 |
Except recently replaced electric beds |
|
Sub Total: |
17,465,849.00 |
14,542,075.32 |
2,923,773.68 |
|
|
Financing and Construction Interest (6%) |
1,047,950.94 |
872,524.52 |
175,426.42 |
|
|
Total: |
18,513,799.94 |
15,414,599.84 |
3,099,200.10 |
|
|
|
|
|
|
|
Cost per Bed |
|
128,455.00 |
70,436.37 |
|
The New York State Department of Health will approve Nursing Home bed
replacement costs of 75% of the maximum allowable cost for new
construction. They will add some additional costs for other work beyond
the bed replacement. Rotenberg & Co., who prepared the financial
feasibility projections, believe that the NYSDOH will approve another
10% for this additional work. The above per bed Nursing Home cost
estimate of $128,455.00 is 86.2% of the 2005 maximum allowable cost for
new construction.
There are no New York State cost limits for the Adult Home.
Montgomery Meadows:
Home Page - Operations -
Programs - Physical Plant -
Financial Analysis
- Market Study - Meetings -
Report
Homepage
•
About us •
Our Philosophy •
Construction
Management •
Savings
Client
Feedback •
Who'd Hire F.L. Hoffman •
Scope of
Professional Services
Project
Profiles •
Newsletter •
Contact Us
Your
comments are welcome
 |
.gif)
.gif)
.gif)
.gif)
.gif)
.gif)
.gif)
.gif){kind=small}
