I happen to work as the project accountant on a $150,000,000 project for Perkins Engines (owned by Caterpillar Inc)
http://www.perkins.com/cda/layout?m=96600&x=7&id=3393100I just want to update you guys in terms of timescales and what we are looking at here.
This figure, the 150million is that amount purely to gain what is called 'mega project' status. Simply put, if you exceed that amount of money then as a business you will gain healthy tax benefits yearly. Also people you intend to employ plays a big part. Mega Projects are normally areas of vast public interest. Airports, Stadiums, parks. Historically a business had to hit $1billion but the figure has since been changed depending on what is being built.
When we started our research on my current project, from the initial meetings to the Green Book (capital) being signed off, we benchmarked and did all of our planning for a solid 18 months.
If this has been done yet remains to be seen but I would take a guess at it being completed.
There are essentially 4 key figures involved for the creation of this renovation
1, PMO – Project Management Office.
Guys from Project managers, accountants, admin etc. Select teams involved in the tendering and selection of various vendors. Seats, lights, on-site bars etc all play a part.
2, Architects.
These people should be on board now. They will have to CAD draw the initial plans and change it to suit timescales and budget. Plans get changed daily and drawings and fees come along with that. We are building at the moment and still changing the drawings.
3, Consultants.
Suits. A key part. They will have the answers for everything. These are important purely because of the area. The council will intend to get as much money from NESV as possible regarding the approvals we will need to start the project. So this can be anything from obtaining the site levels, to getting permission to use explosives, digging up roads, knocking down houses.
All those elements effect the public and will come with a delay.
4, General Contractor.
Perhaps the most important of the lot. The selection of the GC will be a key factor in a delay if any. The contracts have to be watertight. Ever since Brookfield took one of the biggest losses in history building Wembley contractors mull over signing a tender package.
Incentives can be brought in, I.E finish this on time and we’ll give you £1,000,000 – very common.
You’re contractor is the guy who’s name will be all over the stadium during the build. I would go with, and I’m sure we will, Robert McAlpine. Simply put – the guys in charge of such builds as:
Maine Road
1923 Wembley
Millennium Dome
Emirates Stadium
Olympic Stadium
Millennium Bridge
It all boils down to budget. A healthy budget that is followed is a recipe for a successful build. Going over budget can hurt a business and if NESV are trying to generate funds from a holding company you can guarantee that it will be a strict budget.
I am not sure if this is just a statement, or if LFC have approval for the money. Do we have council approval or just an application?
I’d be interested to know.
I’d say we are looking at the following if not.
12-18 months benchmarking, pure research on market price of materials, and the suppliers who will be employed... From concrete to flooring Sqm.
6 months design and contractor selection – to contract signing.
12 months construction from groundbreaking to beneficial occupancy and final completion.
When this project is fully approved and a GC appointed, my CV will be the first out to the selected Project Manager!