What Is a Feasibility Study?

During the initial stages of a building project, a feasibility study provides an in-depth understanding of what the project will entail and how viable this is. It highlights the different options available as well as the likely costs involved.

What is a feasibility study?

Given the building process can be both costly and time-consuming, it is important to determine the feasibility of a project as early as possible. As a result, feasibility studies are undertaken in the very early stages of a construction project. They are most commonly required for complex or large projects.

The main purpose of these reports is to:

• Determine if a project is achievable
• Identify potential design and cost options
• Acquire information required for other project documentation, such as the strategic brief

Feasibility reports identify the potential risks involved as well as highlighting the opportunities available and deciphers whether a project is likely to be successful. By identifying complications early on in the construction process, this limits the impact of these further down the line. These assessments are crucial in aiding decision making and reducing the risk of unexpected costs arising later on.

What do they involve?

These assessments take into account a number of factors to assess the feasibility of a project, including technical, economic and legal considerations.

For example, a team of engineers will gauge whether a project is possible from a technical point. They will consider whether the project needs to be altered and its likeliness to succeed. The costs and potential return on investment will also be taken into account. In addition, the legal feasibility of a project is considered through a due diligence process to ensure a project complies with regulations. Issues such as land use regulations and planning permission can be addressed during this stage. 

For M&E purposes, a focus is often placed on areas such as utility searches and building load estimations. 

Costs of these assessments vary depending on the scale and complexity of each project, although typically range between £1,000 and £4,000.

Benefits

Feasibility reports facilitate a much smoother construction process. Undertaking a feasibility study can:

• Minimise the risk of unexpected costs arising within the building process. These reports should identify any potential problems and offers alternative solutions.
• Provide a more accurate representation of actual costs and expected timeframe of a project.
• Ensure your project complies with regulations.
• Play a critical role in ensuring overall project success.



Conducting these studies are extremely worthwhile, with the initial costs involved likely to save you money in the long run.