Life Cycle Costing Study for Properties
Life cycle costing study in Dubai
A whole life cycle property study is implemented to determine and document the total costs involved in the life of a property, including the initial capital cost and the operational and maintenance costs that would be required throughout its lifespan.
The life cycle property study is usually commissioned by Dubai property owners, owners’ association managers, or real estate developers to enable them to make informed decisions in acquiring or purchasing real estate assets. This kind of costing study usually includes the following detailed costs:
- Initial cost of purchase or acquisition
- Cost of design or development
- Operational cost (e.g., repairs, downtime, production, loss of production)
- Maintenance costs (e.g., preventive and corrective maintenance)
In some cases, a complete property life cost study in Dubai may also factor in elements such as interest rates, inflation, depreciation, and current value of money, among other financial considerations.
Leveraging data from property life cost studies
Through insightful and comprehensive LCC studies provided by Land Sterling, our clients are able to have an overview of the expected costs they would need to finance throughout the lifespan of a real estate asset. With this, they form a reasonable course of action. Furthermore, costing from LCC studies give them the opportunity to:
- Improve both external and internal design for long-term sustainability and feasibility
- Augment operational and maintenance processes with improved understanding of their expected input requirements throughout the property’s lifespan
- Evaluate and forecast future resource requirements
- Examine and compare the value of their potential acquisition with alternative assets
- Assess resource suppliers and choose more appropriate and best quality materials
- Take into account the resources they have utilised in the past and at present
- Project the economic lifespan of the asset and determine if renewal is feasible
Land Sterling aims to consistently provide valuable, accurate, and relevant information to enable buyers, investors, and developers of properties in Dubai to make sound decisions.