Life Cycle Costing (LCC) appraisal is an important part of a sustainable construction – designed to help the project team identify the best design, material, and through-life specifications and alternatives.
A Life Cycle Cost assessment is built on the principle of efficiency – it does not find the cheapest, nor the most expensive alternatives, but balances the expected costs and performance to deliver the best-value throughout the building’s life. This allows buildings to go longer without refurbishment, have higher asset value, and exhibit environmental competency. The LCC assessment also allows owners to better understand expected capital and operational costs, helping informed financial decision-making.
BREEAM accredits built structures for using Life Cycle Costing to prolong their expected life cycle, reduce operational costs, and enhance their specifications.
BREEAM Man 02: Life Cycle Cost provides 4 credits and is available for the following standards:
New office, retail centre, or any other commercial building – we deliver.
Life Cycle Costing has become a necessity for the modern-day builder – it is a powerful tool that allows projects to present their total cost of ownership, from construction to operation and disposal.
The Life Cycle Cost appraisal is carried out in accordance with the ISO 15686 Buildings and Constructed Assets – Service Life Planning Part 1: General Principles; ISO 15686 Buildings and Constructed Assets – Service Life Planning Part 5: Life Cycle Costing and PD 156865 Supplement to BS ISO: 15686-5.
The PD 156865 and BS ISO: 15686-5 standards are referred to in the BREEAM Scheme Document compliance notes.
The BREEAM New Construction 2018 Standard provides 4 Credits for conducting a Life Cycle Cost appraisal, featured as “Man 02: Life Cycle Cost and Service Planning”.
Planning a refurbishment of your existing commercial building?
A Life Cycle Cost (LCC) appraisal can inform a refurbishment project as to the best design and specification alternatives, encouraging efficient through-life operations.
The Life Cycle Cost appraisal is carried out in accordance with the ISO 15686 Buildings and Constructed Assets – Service Life Planning Part 1: General Principles; ISO 15686 Buildings and Constructed Assets – Service Life Planning Part 5: Life Cycle Costing and PD 156865 Supplement to BS ISO: 15686-5.
The PD 156865 and BS ISO: 15686-5 standards are referred to in the BREEAM Scheme Document compliance notes.
The BREEAM Non-Domestic Refurbishment 2014 Standard provides 4 Credits for conducting a Life Cycle Cost appraisal, featured as “Man 02: Life Cycle Cost and Service Planning”.
Meeting the Requirements
The process of Life Cycle Cost (LCC) involves three phases: (i) Elemental Appraisal, (ii) Component Appraisal, and (iii) Capital Cost Reporting.
Elemental Life Cycle Appraisal - 2 Credits
An Elemental Life Cycle Cost (2 Credits) assesses the basic design and structure of the building, estimating construction costs, maintenance costs, and operation cost (based on PD 156865: 2008 1 methodology).
Here’s a breakdown of our cost categories:
- Construction Costs: Initial capital expenditure; other construction related costs; and client definable costs.
- Maintenance Costs: Major replacement and repairs; decoration; minor replacement, repairs & maintenance; unscheduled repairs and replacements and maintenance; and grounds maintenance.
- Operations Costs: Windows and external services; internal cleaning; specialist cleaning; external works cleaning; fuel; water and drainage; staff engaged in servicing the building; rates and other local charges; and client definable costs.
These assessments will allow us to identify cost-efficient alternatives that do not compromise on structural quality and seek to reduce long-term costs. The following illustration demonstrates a Life Cycle Costing breakdown for the entire asset.
Component Life Cycle Appraisal - 1 Credit
A Component Level LCC (1 Credit) identifies and appraises the life cycle cost of ‘components’ of the building (based on PD 156865: 2008 methodology) – these include:
- Envelope: Cladding, windows, and/or roofing
- Services: Heat source, cooling, and/or controls
- Finishes: Walls, floors, and/or ceilings
- External Spaces: Alternative hard landscaping, boundary protection
This appraisal will compare the initial cost, maintenance cost, and operational costs to determine a ‘life-cycle’ costing of each specific service. The example figure below highlights the cumulative Life-cycle cost comparison of two cooling systems – (i) Air cooled, and (ii) Adiabatic.
In this scenario, the original preference was for an air-cooled system, owing to its lower initial cost. The LCC comparison here shows that despite being initially expensive, an adiabatic cooled system had much lower operational costs in the long-term. Therefore, throughout the building’s life cycle, an air-cooled system would have incurred additional, unnecessary costs.Capital Cost Reporting - 1 Credit
You can achieve one credit under Man 02 Life Cycle Cost by submitting the capital cost of your scheme to BREEAM. The requirement is straightforward however, we can support you by carrying out the required calculation and submitting it in the required format to the BREEAM assessor.
Requirements
A complete Life Cycle Cost appraisal requires the appropriate Stage 2 and Stage 4 (or equivalent) designs of the structure.
Post Construction
We will advise the BREEAM Assessor on what information is necessary to include in the site inspection report. We also assess what photographic evidence is to be provided.
ADW Developments has substantial expertise, the recognised qualifications, and the necessary experience in undertaking life cycle cost studies to meet the BREEAM requirements.