Conceptual & Preliminary Estimates
Preliminary Estimating Services in Arizona
- Arizona labor and material pricing
- Fixed quote before work starts
- Excel and PDF, bid-ready
Overview
Reliable Budgets Before Design Is Complete
Quick answer: A preliminary construction estimate, also called a conceptual or order-of-magnitude estimate, forecasts project cost using early information such as the building program, square footage, quality level, sketches and site data. Estimators apply cost-per-square-foot benchmarks, systems pricing and allowances, then add contingency that reflects how much of the design is still unknown. It is used to test feasibility, set budgets and guide design decisions.
The most important cost decisions are made at the start of a project: which site to buy, how big to build, what level of finish to target and which structural and mechanical systems to use. Those decisions are hard to reverse once drawings are complete. A good preliminary estimate makes sure they are made with realistic numbers.
We build preliminary estimates from benchmark data for comparable Arizona projects, adjusted for location, size, quality and building type. As the design progresses, we update the estimate at each milestone, so the budget and the design stay aligned. When documents are complete, our Construction Cost Estimating Services and Bid Estimating Services take over.
Developers often combine preliminary estimates with our Developer Cost Estimating Services for pro forma and lender packages, and with our Value Engineering Services to compare design alternatives before they are locked in.
What Your Preliminary Estimating Includes
- Cost per square foot, unit or key
- Systems and assemblies breakdown
- Site and infrastructure allowances
- Soft cost allowances when requested
- Design and construction contingency
- Escalation to the expected start date
- Clear basis of estimate and assumptions
- Option and scenario comparisons
- Excel workbook and PDF summary
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Scope of Work
Preliminary Estimates We Prepare
Feasibility Studies
Construction cost inputs for land purchases, pro formas and go or no-go decisions.
Order-of-Magnitude Budgets
Fast budgets from program areas and quality levels when only a concept exists.
Schematic Design Estimates
Systems-based budgets that check whether the design is on target.
Design Development Estimates
More detailed budgets with key quantities as drawings and specifications develop.
Option Comparisons
Side-by-side costs for structural systems, envelopes and MEP choices. See Value Engineering Services.
Site Comparison Budgets
Cost differences between candidate sites, including soils, utilities and off-site improvements.
Lender and Investor Budgets
Budget summaries formatted for construction loan and investor review.
Phased and Master Plan Budgets
Multi-phase budgets for campuses, master-planned communities and multi-building sites.
Budget Reconciliation
Comparison of design-team and contractor estimates to explain differences.
In Depth
How We Estimate Without Complete Drawings
Early estimates rely on judgment and data. This is how we keep them reliable when information is limited:
Benchmarks from comparable projects
We start with cost data from similar Arizona buildings by type, size and quality, adjusted to the current date and the project location. Benchmarks are a starting point, not the answer.
Systems-based pricing
Instead of a single cost per square foot, we price the building as systems: foundations, structure, exterior walls, roofing, interiors, MEP, fire protection and site work. That shows where the money is and which decisions matter most.
Allowances for the unknown
Items that are not designed yet, such as finishes, specialty equipment or off-site utilities, are carried as clearly labeled allowances with the basis for each amount.
Contingency that matches design maturity
Design contingency covers scope that will be added as drawings develop. It is higher at concept stage and shrinks as the design matures. Construction contingency for field risks is shown separately.
Documented basis of estimate
Every preliminary estimate includes a written basis: what was provided, what was assumed, what was excluded and which benchmarks were used. That makes later updates and reconciliation straightforward.
At a Glance
Estimate Classes and Design Maturity
| Class | Design Maturity | Typical Purpose | Expected Accuracy Range* |
|---|---|---|---|
| Class 5 | 0% to 2% | Concept screening | Low: -20% to -50% / High: +30% to +100% |
| Class 4 | 1% to 15% | Feasibility study | Low: -15% to -30% / High: +20% to +50% |
| Class 3 | 10% to 40% | Budget authorization | Low: -10% to -20% / High: +10% to +30% |
| Class 2 | 30% to 75% | Control or bid | Low: -5% to -15% / High: +5% to +20% |
| Class 1 | 65% to 100% | Check estimate or bid | Low: -3% to -10% / High: +3% to +15% |
*Ranges from AACE International Recommended Practice 18R-97. Actual accuracy depends on project complexity, data quality and market conditions.
Expert Guide
What to Provide for a Preliminary Estimate
You do not need complete drawings, but the more you can share, the tighter the estimate will be. Helpful information includes:
- Site address, size, survey and any geotechnical information
- Building program: uses, areas, number of floors, units or rooms
- Concept sketches, massing studies or schematic plans
- Target quality level or comparable buildings you like
- Preferred structural, exterior and mechanical systems, if known
- Expected construction start date and duration
- Any owner requirements, brand standards or sustainability goals
How estimates evolve with the design
Most projects benefit from an estimate at each design milestone: concept, schematic design, design development and construction documents. Each update compares the new number with the previous one and explains the differences, so the owner can make decisions before costs are locked in. Accuracy ranges follow the AACE International classification system shown below.
Arizona Factors
Arizona Factors That Matter Most at the Early Stage
Water Supply
In the Phoenix Active Management Area, assured water supply rules shape which new subdivisions can be approved and may affect infrastructure costs.
Off-Site Infrastructure
Edge-market sites in Buckeye, Queen Creek and other growth areas may need road, water and sewer extensions.
Impact and Development Fees
Development impact fees vary widely between Arizona cities and can be a large line item on residential and commercial projects.
Soils and Caliche
Without a geotechnical report, we carry allowances for over-excavation, caliche removal and foundation upgrades.
Escalation to Start Date
Early budgets are escalated to the expected construction start, which matters in a market with volatile material prices.
Climate-Driven Systems
Cooling-heavy HVAC, cool roofs and shading devices are included at the systems level from day one.
How It Works
How Our Preliminary Estimating Process Works
01
Send Your Documents
02
Approve a Fixed Quote
03
Takeoff and Pricing
04
Review and Delivery
Service Areas
Preliminary Estimating Services Across Arizona
- Construction Estimating Services in Phoenix, AZ
- Construction Estimating Services in Scottsdale, AZ
- Construction Estimating Services in Mesa, AZ
- Construction Estimating Services in Chandler, AZ
- Construction Estimating Services in Gilbert, AZ
- Construction Estimating Services in Tempe, AZ
- Construction Estimating Services in Tucson, AZ
- Construction Estimating Services in Glendale, AZ
- Construction Estimating Services in Peoria, AZ
- Construction Estimating Services in Goodyear, AZ
- Construction Estimating Services in Buckeye, AZ
- Construction Estimating Services in Queen Creek, AZ
FAQs
Preliminary Estimating Services FAQs
What is a preliminary construction estimate?
A preliminary estimate is a budget prepared before the design is complete, using program areas, quality level, sketches and benchmark costs. It helps owners decide whether and how to proceed.
How accurate is a preliminary estimate?
Accuracy depends on how much information is available. A concept-stage estimate can carry a wide range, while a design development estimate is much tighter. We state the expected range and the basis of estimate on every budget.
What information do you need?
At minimum, the site location, building type, approximate size and quality level. Sketches, a program, a survey and a soils report all help improve accuracy.
Can you update the estimate as the design progresses?
Yes. Many clients ask for an estimate at each design milestone. Each update explains what changed from the previous estimate and why.
Is a preliminary estimate good enough for a loan?
It can support early lender discussions, but most construction loans require a detailed estimate from construction documents. See our Developer Cost Estimating Services.
Do you include soft costs?
Yes, on request. We can add allowances for design fees, permits, impact fees, financing, insurance and other soft costs to give a total project budget.
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Get Accurate Preliminary Estimating Services in Arizona
Location & Contact
Our Phoenix Office Serves Contractors Across Arizona
Office Address
413 W Osborn Rd, Phoenix, AZ 85013
Midtown Phoenix, Maricopa County
Phone
Estimating Desk Hours
Monday to Friday, 8:00 AM to 6:00 PM Arizona Time (MST, no daylight saving)