LS Construction Cost Handbook 2012

Legal: Langdon & Seah All rights reserved. No part of the publication may be reproduced or copied in any form without prior written permission from Langdon & Seah. The information contained in the handbook should be regarded as indicative and for general guidance only. Whilst every effort has been made to ensure accuracy, no responsibility can be accepted for errors and omissions, however caused. Unless otherwise stated, costs reflected in the handbook are costs as at 4th Quarter 2011.

CONSTRUCTION COSTS FOR SELECTEDASIAN CITIES

BUILDING TYPEUS$/m2

HONG KONG + SHANGHAI + BEIJING + GUANGZHOU/ SHENZHEN + CHONGQING + CHENGDU +

DOMESTICDetached houses and bungalows 3,838 1,096 776 622 760 780Terraced houses 2,863 822 528 439 480 500Average standard apartments, high rise 2,217 658 560 525 440 470Luxury apartments, high rise 2,453 987 993 605 800 1,000

OFFICE/COMMERCIAL 2,251 987 947 760 860 940 2,733 1,316 1,269 1,044 1,100 1,250

Shopping centres 2,545 1,206 1,090 983 900 950

HOTELSResort hotels N/A 1,370 N/A N/A N/A N/A3-star budget hotels, inclusive of F.F. & E. 2,713 1,096 1,116 N/A 1,050 1,1005-star luxury hotels, inclusive of F.F. & E. 3,436 2,193 1,919 1,517 1,880 2,150

INDUSTRIAL 1,184 N/A N/A N/A N/A N/A

warehouses 1,334 N/A N/A N/A N/A N/ASingle storey conventional factory of structural steelwork N/A 548 586 520 550 550Owner operated factories, low rise 1,805 735 765 648 N/A N/A

OTHERSBasement carparks (< 3 levels) 1,900 830 780 759 700 700Elevated carparks (< 4 levels) 1,028 398 456 353 390 390Primary and secondary schools 1,497 598 632 415 480 500Student hostels 1,663 343 335 266 330 330Sports clubs inclusive of F.F. & E. 2,852 1,051 970 798 900 990

Exchange Rate Used : US$1 = HK$7.8 RMB6.35 RMB6.35 RMB6.35 RMB6.35 RMB6.35The above costs are at 4th Quarter 2011 levels, inclusive of preliminaries and contingencies unless otherwise stated.For latest cost information, please refer to our Quarterly Construction Cost Review.

+ Rates are exclusive of contingencies.

Prestige offices, high riseAverage standard offices, high rise

Light duty flatted factoriesHeavy duty flatted factories and


BUILDING TYPEUS$/m2

MACAU SINGAPORE KUALALUMPUR BRUNEI INDIA MANILA

DOMESTICDetached houses and bungalows 3,455 2,400 962 751 409 1,210Terraced houses 3,015 2,040 317 525 300 620Average standard apartments, high rise 1,545 1,680 463 871 347 845Luxury apartments, high rise 2,230 2,760 1,070 1,071 439 1,070

OFFICE/COMMERCIAL 2,200 2,080 752 871 406 820 2,520 2,320 1,105 1,192 514 1,080

Shopping centres 2,710 2,240 917 1,097 470 960

HOTELSResort hotels N/A 2,480 1,333 1,438 723 1,2903-star budget hotels, inclusive of F.F. & E. 2,560 2,560 1,537 1,559 817 1,2305-star luxury hotels, inclusive of F.F. & E. 3,480 3,440 2,241 2,163 1,588 1,600

INDUSTRIAL 1,245 1,120 438 483 263 430

warehouses N/A 1,360 521 N/A 313 475Single storey conventional factory of structural steelwork N/A 960 435 441 252 410Owner operated factories, low rise N/A N/A 530 N/A 317 440

OTHERSBasement carparks (< 3 levels) 1,230 1,310 505 N/A 254 480Elevated carparks (< 4 levels) 910 760 286 494 222 465 Primary and secondary schools N/A 1,055 327 693 178 590Student hostels N/A 1,160 413 793 228 695Sports clubs inclusive of F.F. & E. N/A 1,770 854 N/A 605 1,260

Exchange Rate Used : US$1 = MOP7.97 S$1.25 RM3.15 B$1.26 INR50 PHP43

Rates based on projects in Bangalore and are nett of VAT and Service Tax. Mumbai costs are generally 8% higher. Rates are exclusive of contingencies and include 12% VAT.

The above costs are at 4th Quarter 2011 levels, inclusive of preliminaries and contingencies unless otherwise stated.For latest cost information, please refer to our Quarterly Construction Cost Review. Rates are exclusive of contingencies and any management contract fee. Rates are nett of GST and exclusive of contingencies.



PROGRESS PAYMENTS

CONTRACTPERIOD

CUMULATIVE PROGRESS

CLAIMESCONTRACT

PERIODCUMULATIVE PROGRESS

CLAIMES 5% 1% 55% 59% 10% 3% 60% 68% 15% 5% 65% 77% 20% 7% 70% 83% 25% 10% 75% 88% 30% 14% 80% 92% 35% 21% 85% 94% 40% 29% 90% 96% 45% 38% 95% 98% 50% 48% 100% 100%

The following graph and table are an indication of the rate of expen-diture for construction projects.

The rate of expenditure is an average rate and will vary from proj-ect to project when specific project circumstances are taken into account.

No account has been made for retention.


BUILDING TYPEUS$/m2

KARACHI BANGKOK # JAKARTA ^ HO CHI MINH # SEOUL $ TOKYO

DOMESTICDetached houses and bungalows 985 - 1,150 967 475 500 - 600 1,930 2,760Terraced houses 250 - 350 583 N/A 425 - 485 1,605 N/AAverage standard apartments, high rise 580 - 775 828 595 635 - 760 1,310 2,230Luxury apartments, high rise 870 - 1,150 1,162 800 815 - 945 1,630 3,100

OFFICE/COMMERCIAL 575 - 725 750 575 760 - 880 1,170 2,680 950 - 1,150 983 860 890 - 1,130 1,330 3,200

Shopping centres 695 - 900 800 495 695 - 815 1,480 2,190

HOTELSResort hotels 1,965 - 2,305 2,267 1,200 1,195 - 1,500 1,535 3,5103-star budget hotels, inclusive of F.F. & E. 1,125 - 1,450 1,367 980 1,495 - 1,750 1,730 3,480 5-star luxury hotels, inclusive of F.F. & E. 1,800 - 2,100 1,933 1,395 1,825 - 2,060 2,300 5,100

INDUSTRIAL 300 - 375 600 N/A 238 - 390 N/A 1,540

warehouses 350 - 450 N/A N/A 395 - 510 N/A 2,040

Single storey conventional factory of structural steelwork 435 - 450 600 260 385 - 510 690 1,760Owner operated factories, low rise 325 - 425 N/A N/A 395 - 495 N/A N/A

OTHERSBasement carparks (< 3 levels) 275 - 325 683 390 640 - 730 965 N/AElevated carparks (< 4 levels) 200 - 250 350 260 340 - 455 565 1,690Primary and secondary schools 550 - 675 N/A N/A 475 - 500 1,820 2,070Student hostels 410 - 540 N/A N/A 500 - 630 1,080 1,890Sports clubs inclusive of F.F. & E. 810 - 900 N/A N/A 755 - 840 1,460 2,280

Exchange Rate Used : US$1 = PKR89.42 BAHT30 IDR8,910 VND21,011 KRW1,144 JPY78.14

$ Rates are nett of VAT and exclusive of contingencies. Rates exclude contingencies, consultant fees and consumption tax.

The above costs are at 4th Quarter 2011 levels, inclusive of preliminaries and contingencies unless otherwise stated.For latest cost information, please refer to our Quarterly Construction Cost Review.

# Rates are nett of VAT and contingencies.^ Rates are nett of VAT.



M&E COSTS FOR SELECTED ASIAN CITIES

BUILDING TYPEHONG KONG SHANGHAI BEIJING GUANGZHOU/ SHENZHEN CHONGQING CHENGDU

HK$/m2 RMB/m2 RMB/m2 RMB/m2 RMB/m2 RMB/m2

MECHANIAL SERVICES 1,600 - 2,350 761 - 966 750 - 990 650 - 880 700 - 900 700 - 1,000

Industrial * 380 - 500 173 - 289 160 - 270 135 - 240 150 - 250 150 - 250Hotels 1,750 - 2,150 971 - 1,265 910 - 1,110 890 - 1,115 750 - 1,000 750 - 1,200Shopping Centres 1,950 - 2,400 1,050 - 1,103 790 - 950 660 - 890 600 - 850 600 - 1,000Apartment 650 - 1,300 310 - 410 130 - 370 105 - 325 100 - 300 100 - 300ELECTRICAL SERVICES

1,300 - 1,950 593 - 651 460 - 670 450 - 650 450 - 650 450 - 700Industrial ** 450 - 850 305 - 431 320 - 450 260 - 400 300 - 400 300 - 400Hotels 1,500 - 2,150 651 - 830 705 - 898 565 - 765 550 - 700 550 - 800Shopping Centres 1,400 - 1,950 520 - 651 481 - 663 450 - 610 450 - 600 450 - 700Apartment 850 - 1,300 252 - 368 253 - 386 240 - 380 250 - 350 250 - 350HYDRAULIC SERVICES

270 - 380 110 - 163 95 - 140 105 - 140 70 - 130 70 - 130Industrial 220 - 330 89 - 131 95 - 140 75 - 102 70 - 120 70 - 120Hotels 800 - 1,050 368 - 488 360 - 470 325 - 410 300 - 400 300 - 400Shopping Centres 270 - 380 137 - 184 140 - 200 105 - 140 70 - 130 70 - 130Apartment 550 - 850 168 - 226 165 - 225 125 - 220 120 - 200 120 - 200FIRE SERVICES

430 - 550 226 - 320 180 - 265 190 - 295 180 - 250 180 - 250Industrial 250 - 300 168 - 278 140 - 215 125 - 240 150 - 250 150 - 250Hotels 430 - 550 289 - 399 215 - 370 230 - 345 200 - 330 200 - 330Shopping Centres 430 - 550 268 - 383 215 - 370 230 - 345 220 - 330 220 - 330Apartment 75 - 120 47 - 116 60 - 125 55 - 105 50 - 100 50 - 100LIFTS / ESCALATORS

550 - 900 275 - 540 294 - 577 250 - 410 350 - 550 350 - 600Industrial 450 - 600 130 - 380 145 - 400 135 - 390 150 - 350 150 - 350Hotels 450 - 650 215 - 485 232 - 520 200 - 390 300 - 450 300 - 500Shopping Centres 650 - 850 320 - 485 327 - 520 305 - 430 300 - 400 300 - 450Apartment 330 - 650 160 - 320 175 - 289 105 - 230 140 - 250 140 - 250

The above costs are at 4th Quarter 2011 levels, exclusive of contingencies unless otherwise stated.

* Generally without A/C.** Excludes special power supply.

Offices

Offices

Offices

Offices

Offices


BUILDING TYPEMACAU SINGAPORE KUALALUMPUR BRUNEI INDIA

MANILA

MOP/m2 S$/m2 RM/m2 B$/m2 INR/m2 PHP/m2

MECHANIAL SERVICES N/A 153 - 228 350 - 455 133 - 166 3,600 - 4,700 3,000 - 4,300

Industrial * N/A 29 - 136 60 - 90 17 - 29 1,600 - 2,800 650 - 1,300Hotels 1,850 - 2,150 150 - 289 280 - 450 214 - 247 4,500 - 4,850 3,000 - 6,000Shopping Centres 1,600 - 2,150 158 - 214 280 - 410 152 - 181 3,500 - 4,500 2,500 - 3,700Apartment 550 - 650 95 - 192 200 - 283 157 - 181 2,000 - 2,500 1,900 - 3,000ELECTRICAL SERVICES

N/A 203 - 306 220 - 465 171 - 214 2,800 - 4,000 3,300 - 6,000Industrial ** N/A 58 - 148 140 - 157 143 - 171 1,800 - 3,100 2,000 - 3,500Hotels 1,900 - 2,300 202 - 340 240 - 590 214 - 280 3,200 - 4,900 4,400 - 8,400Shopping Centres 1,900 - 2,100 170 - 275 200 - 260 162 - 233 3,000 - 4,000 3,600 - 5,400Apartment 650 - 850 109 - 252 85 - 210 185 - 233 1,200 - 1,600 3,200 - 4,800HYDRAULIC SERVICES

N/A 31 - 71 23 - 52 12 - 29 575 - 850 900 - 2,000Industrial N/A 19 - 39 36 - 45 8 - 14 375 - 650 700 - 1,200Hotels 850 - 1,050 97 - 136 173 - 235 45 - 62 3,000 - 4,500 1,750 - 3,800Shopping Centres 300 - 400 49 - 75 23 - 30 9 - 30 825 - 1,500 650 - 1,100Apartment 550 - 750 75 - 159 18 - 45 28 - 44 1,300 - 1,800 1,300 - 2,600FIRE SERVICES

N/A 32 - 64 57 - 80 24 - 29 900 - 1,200 600 - 1,200Industrial N/A 24 - 54 45 - 60 9 - 14 400 - 550 600 - 900Hotels 500 - 600 49 - 78 65 - 90 19 - 36 1,000 - 1,300 600 - 1,100Shopping Centres 400 - 500 38 - 63 60 - 80 24 - 48 850 - 950 600 - 900Apartment 100 - 150 19 - 53 20 - 25 19 - 38 450 - 550 600 - 1,300LIFTS / ESCALATORS

N/A 62 - 177 88 - 400 7 - 24 650 - 900 1,600 - 2,900Industrial N/A 46 - 114 54 - 190 3 - 14 400 - 550 N/AHotels 500 - 700 76 - 138 85 - 370 9 - 33 800 - 1,000 1,500 - 3,000Shopping Centres 400 - 600 83 - 200 85 - 110 9 - 27 800 - 1,100 700 - 1,700Apartment 400 - 500 27 - 123 63 - 105 8 - 19 500 - 700 800 - 1,500

Rates are based on projects in Bangalore and are nett of VAT and Service Tax. Mumbai costs are generally 8% higher.

Transformer, included in Electrical Services.

* Generally without A/C.** Excludes special power supply. Rates are nett of GST.


Offices

Offices

Offices

Offices

Offices


BUILDING TYPEKARACHI BANGKOK JAKARTA # HO CHI MINH SEOUL $ TOKYO

PKR/m2 BHT/m2 IDR'000/m2 VND'000/m2 KRW'000/m2 JPY/m2

MECHANIAL SERVICES 3,750 - 8,500 3,900 - 4,800 625 - 735 1,590 - 2,267 200 - 280 21,000

Industrial * 1,085 - 1,890 1,250 - 1,400 195 - 455 N/A 87 - 150 11,200Hotels 7,600 - 9,950 4,500 - 5,100 625 - 840 N/A 205 - 330 14,800Shopping Centres 7,600 - 9,950 4,400 - 4,800 570 - 680 N/A 144 - 240 7,100Apartment 2,600 - 3,500 4,400 - 4,500 570 - 730 1,198 - 1,729 92 - 169 3,000ELECTRICAL SERVICES

4,425 - 5,413 2,250 - 2,500 510 - 680 1,962 - 2,337 250 - 365 19,600Industrial ** 2,431 - 3,392 1,650 - 1,700 280 - 450 N/A 115 - 150 10,400Hotels 5,850 - 9,925 2,750 - 3,200 510 - 730 N/A 350 - 460 18,800Shopping Centres 4,715 - 7,825 2,150 - 2,400 450 - 570 N/A 200 - 230 7,600Apartment 2,000 - 3,270 2,390 - 2,950 510 - 680 1,740 - 2,197 130 - 165 12,200HYDRAULIC SERVICES

765 - 1,205 750 - 890 120 - 190 263 - 502 32 - 55 12,600Industrial 630 - 835 700 - 780 71 - 130 N/A 20 - 30 5,700Hotels 3,200 - 4,845 1,350 - 1,490 510 - 740 N/A 57 - 89 16,600Shopping Centres 465 - 1,240 780 - 950 120 - 190 N/A 27 - 56 5,400Apartment 1,360 - 1,970 1,150 - 1,350 510 - 730 514 - 1,171 49 - 65 18,300FIRE SERVICES

Included in above

1,285 - 1,675 760 - 850 160 - 250 614 - 1,019 40 - 65Industrial 1,125 - 2,025 720 - 750 70 - 130 N/A 27 - 30Hotels 1,285 - 2,650 750 - 850 150 - 250 N/A 56 - 87Shopping Centres 1,125 - 2,025 760 - 790 160 - 210 N/A 42 - 69Apartment 850 - 1,350 760 - 850 160 - 210 420 - 528 32 - 65LIFTS / ESCALATORS

1,745 - 3,100 1,000 - 1,050 270 - 740 563 - 1,079 45 - 60 5,600Industrial 1,745 - 3,100 N/A N/A N/A 16 - 25 2,500Hotels 3,500 - 8,100 1,000 - 1,100 270 - 680 N/A 110 - 155 5,100Shopping Centres 1,745 - 3,100 210 - 490 205 - 540 1,161 - 1,642 55 - 78 3,600Apartment 1,745 - 3,100 450 - 500 260 - 540 633 - 920 27 - 38 2,700

# All rates are nett of VAT. Rates for Electrical Services are excluding genset. Rates for Hydraulic Services are excluding STP. Rates for Mechanical Services refer to ACMV Rates only.

Services. Smoke spill exhaust system is included in Mechanical Services. Fire alarm system, emergency PA system are included in Electrical Services.

* Generally without A/C.** Excludes special power supply. Based upon nett enclosed area and nett of VAT.$ Rates are nett of VAT.


Offices

Offices

Offices

Offices

Offices

All costs are average. Sprinkler system, fire hose reel are included in Hydraulic

MAJOR RATES FOR SELECTED ASIAN CITIES

DESCRIPTION UNITHONG KONG SHANGHAI BEIJING /UOHZGNAUGSHENZHEN CHONGQING CHENGDU

HK$ RMB RMB RMB RMB RMB

1. Excavating basements 2.00m deep m3 115 30 15 25 16 202. Excavating for footings 1.50m deep m3 110 25 18 30 18 253. Remove excavated materials off site m3 190 * 105 25 68 43 354. m3 650 168 120 155 120 1305. Mass concrete grade 15 m3 900 400 500 380 380 3806. Reinforced concrete grade 30 m3 1,130 470 560 465 420 4207. Mild steel rod reinforcement kg 9.8 6 6.3 6.2 6.3 6.38. High tensile rod reinforcement kg 9.8 6 6.3 6.2 6.3 6.39. slabs m2 180 55 65 45 55 5510. Sawn formwork to columns and walls m2 180 55 55 45 55 5511. 112.5mm thick brick walls m2 190 60 @ 90 58 47 5012. steel sheeting m2 600 N/A N/A N/A N/A N/A13. Aluminium casement windows, single glazed m2 1,700 600 780 ** 550 750 ** 750 **14. Structural steelwork - beams, stanchions and the like kg 25 12 11 14 12 1215. the like kg 27 10 11 11 10 1016. 25mm cement and sand (1:3) paving m2 80 35 20 21 22 2517. 20mm cement and sand (1:4) plaster to walls m2 95 28 22 18 17 2018. (m/s) m2 270 160 120 115 120 12019. m2 430 170 140 157 130 13020. Two coats of emulsion paint to plastered surfaces m2 44 32 30 26 30 30Average expected preliminaries % 10 - 15 3 - 8 5 - 10 5 - 10 5 - 10 5 - 10

The above costs are at 4th Quarter 2011 levels and are based on lump sum fixed price contract rates exclusive of preliminaries andcontingencies unless otherwise stated.

** Rates for double glazed window.* Rate including waste charges implemented on 1 Dec. 2005.@ Rates for 120mm thick concrete block walls.

Hardcore bed blinded with dine materials

Sawn formwork to soffits of suspended

Kliplok Colorbond 0.64mm profiled

Steelwork - angles, channels, flats and

Ceramic tiles bedded to floor screed

12mm fibrous plasterboard ceiling lining


DESCRIPTION UNITMACAU SINGAPORE KUALALUMPUR BRUNEI INDIA

MANILA

MOP S$ RM B$ INR PHP

1. Excavating basements 2.00m deep m3 110 16.5 15 - 20 3.5 130 3502. Excavating for footings 1.50m deep m3 105 16.5 15 - 20 3 145 2503. Remove excavated materials off site m3 60 15 20 - 25 3 100 2004. m3 580 50 60 - 70 37 3,060 2,5005. Mass concrete grade 15 m3 680 202 230 - 250 117 4,200 3,5006. Reinforced concrete grade 30 m3 730 155 - 170 250 - 280 132 5,125 4,8007. Mild steel rod reinforcement kg 9.5 1.6 - 1.75 3.5 - 3.8 0.98 40 478. High tensile rod reinforcement kg 9.5 1.6 - 1.75 3.5 - 3.8 0.98 42 489. slabs m2 160 30 - 33 30 - 38 14.5 425 85010. Sawn formwork to columns and walls m2 160 30 - 33 30 - 38 14 450 80011. 112.5mm thick brick walls m2 250 30 - 35 32 - 45 18.5 700 N/A12. steel sheeting m2 N/A 43 55 - 60 56 960 90013. Aluminium casement windows, single glazed m2 2,000 290 350 - 500 166 - 216 3,700 9,000 14. Structural steelwork - beams, stanchions and the like kg 35 4.8- 5.8 6 - 7.5 3 75 10015. the like kg 32 4.8 - 5.8 6 - 7.5 2.7 75 9516. 25mm cement and sand (1:3) paving m2 80 11 15 - 22 7.5 300 35017. 20mm cement and sand (1:4) plaster to walls m2 95 15.5 15 - 22 8 230 35018. (m/s) m2 400 65.5 50 - 70 23 1,100 1,20019. m2 460 30 30 - 45 28 850 1,30020. Two coats of emulsion paint to plastered surfaces m2 80 3.5 - 4 3.5 - 4 5 130 350Average expected preliminaries % 8 - 15 12 - 15 6 - 12 5 - 8 5 - 10 8 - 15

The above costs are at 4th Quarter 2011 levels and are based on lump sum fixed price contract rates exclusive of preliminaries andcontingencies unless otherwise stated.

Rates are based on projects in Bangalore and are nett of VAT and Service tax. Mumbai costs are generally 8% higher.

Rates are nett of GST. Rate for lean concrete blinding.

Hardcore bed blinded with fine materials

Sawn formwork to soffits of suspended

Kliplok Colorbong 0.64mm profiled




Rate for aluminium with anodized finish; 6mm thick.


DESCRIPTION UNITKARACHI BANGKOK # JAKARTA # HO CHI MINH # SEOUL

$ TOKYO

PKR BHT IDR'000 VND'000 KRW JPY

1. Excavating basements 2.00m deep m3 385 - 635 100 23 69 2,100 8902. Excavating for footings 1.50m deep m3 320 - 495 100 30 64 2,100 9403. Remove excavated materials off site m3 180 - 280 100 25 66 12,000 3,1404. m3 1,170 - 1,413 600 270 306 26,500 8,1005. Mass concrete grade 15 m3 5,000 - 5,500 2,000 710 1,352 57,000 11,2006. Reinforced concrete grade 30 m3 7,500 - 8,500 2,400 850 1,730 72,000 13,2007. Mild steel rod reinforcement kg 80 - 110 31 10 23.3 1,070 688. High tensile rod reinforcement kg 77 - 115 30 10 22.2 1,080 839. slabs m2 485 - 625 350 120 181 23,000 3,40010. Sawn formwork to columns and walls m2 550 - 790 350 120 223 23,000 3,40011. 112.5mm thick brick walls m2 990 - 1,060 700 120 165 40,000 13,10012. steel sheeting m2 3,765 - 4,845 1,200 175 516 35,000 2,20013. Aluminium casement windows, single glazed m2 5,000 - 7,500 6,000 880 2,545 249,900 23,00014. Structural steelwork - beams, stanchions and the like kg 135 - 160 55 18 33.5 2,400 21015. the like kg 135 - 160 55 18 38.5 1,900 32016. 25mm cement and sand (1:3) paving m2 425 - 590 200 44 46 2,500 2,60017. 20mm cement and sand (1:4) plaster to walls m2 375 - 580 200 50 66.35 8,300 3,00018. (m/s) m2 1,300 - 1,500 1,200 110 245 55,000 6,10019. m2 850 - 1,250 800 100 300 24,000 N/A20. Two coats of emulsion paint to plastered surfaces m2 270 - 375 100 18 62.3 7,100 900Average expected preliminaries % 8 - 10 10 - 15 5 - 10 8 - 12 6 - 11 10 - 15

The above costs are at 4th Quarter 2011 and are based on lump sum fixed price contract rates exclusive of preliminaries andcontingencies unless otherwise stated.

$ Rates include labour costs and are nett of VAT.& Including undercoat and primer.

# Rates are nett of VAT. Rate for 9mm gypsum board.

Hardcore bed blinded with fine materials

sawn formwork to soffits of suspended

Kliplok Colorbong 0.64mm profiled




CONSTRUCTION COSTS FOR SELECTEDINTERNATIONAL CITIES

BUILDING TYPEUS$/m2

SYDNEY AUCKLAND JO'BURG LOSANGELESSAN

FRANCISCONEWYORK LONDON

RESIDENTIAL

Average multi unit, high rise 2,845 1,770 940 3,500 3,600 3,700 2,420 - 3,060Luxury unit, high rise 3,265 2,670 1,640 4,200 4,300 4,500 3,220 - 4,420Individual prestige houses 3,440 2,815 1,650 3,400 3,500 3,800 3,600 - 5,430

COMMERCIAL/RETAIL

3,160 1,605 1,250 3,700 3,900 4,000 2,800 - 3,520 3,585 1,850 1,600 4,200 4,400 4,500 4,000 - 5,120

Major shopping centre (CBD) 2,530 1,110 1,180 2,800 3,100 3,200 1,830 - 2,390

HOTEL

3 star budget 3,265 2,220 1,900 2,100 2,200 2,250 1,940 - 2,3405 star luxury 4,530 2,880 2,500 4,500 4,600 4,700 3,570 - 4,370Resort style 4,110 2,220 3,000 4,500 4,600 N/A N/A

INDUSTRIAL

Light duty factory 685 450 430 1,200 1,400 1,200 850 - 1,070Heavy duty factory 865 575 600 1,600 1,800 1,900 1,410 - 1,760

OTHERS

Multi storey carpark 895 535 460 850 880 900 510 - 860District hospital 4,055 3,130 1,250 7,300 7,500 6,300 2,950 - 3,680Primary and secondary schools 1,720 1,760 850 3,00 3,200 3,600 2,230 - 3,300

Exchange Rate Used(as at July 2011) US$1 = A$0.93 NZ$1.25 ZAR7.00 US$1.00 US$1.00 US$1.00 GBP0.63

The above costs are at 2nd Quarter 2011 levels. Prices excludes land, site works, professional fees, tenant fitout, equipment andGST/VAT. Hotel rate includes FF&E.

Large fluctuation in exchange rates can create short tem anomalies.


CONSTRUCTION FLOOR AREA (CFA) DEFINITION

The construction floor area measured from drawings is defined as covered floor areas fulfilling the functional requirements of the building measured to the outside face of the external walls or exter-nal perimeter.

It includes floor ares occupied by:

partitions

columns

stairwells

lift shafts

plant rooms

water tanks

balconies

utilities platforms

vertical ducts

service floors higher than 2.2m and the like

But excludes floor areas occupied by:

bay windows

planters projecting from the building, and

the areas covered by canopies, roof eaves and awnings

Sloping surfaces such as staircases, escalators and carpark ramps are to be measured flat on plan.

The measurement of construction floor area is as defined by Langdon & Seah.

FINANCIAL DEFINITIONS & FORMULAEDiscount Rate

The rate of return a developer expects when investing in a proj-ect.

i.e. opportunity cost

Internal Rate of Return (IRR)

The IRR may be defined as the interest rate that equates the pres-ent value of expected future cash flows to the cost of the invest-ment.

The IRR can be compared to the Discount Rate.

Net Present Value (NPV)

The NPV is the present value of all future cash flows, discounted back to todays values at the Discount Rate.

The NPV indicates in todays dollars the profit or loss a developer makes above or below his required profit (based on a nominated Discount Rate).

72 Rule

The approximate number of years required to double your capital can be calculated by dividing the interest rate into 72.

e.g. If interest rate = 10% p.a. Then 72 10 = 7.2 years It will take approximately 7.2 years to double your capital if it is invested at 10% p.a.

PV = present valueFV = future valuePMT = payment amountn = period (e.g. 10 years with monthly payments, n = 10 x 12 = 120)i = interest rate per period (e.g. 12% p.a. compounded monthly; i = 12% 12 months = 1% per period)

Future value of $1

Future value of $1 per period

Sinking fund (the amount required to be put away periodi-cally to realise some future sum)

Present value of $1

Present value of $1 per period

Annuity with a PV of $1

FV = PV (1+i)n

FV = PMT [((1+i)n 1) i]

PMT = FV [i ((1+i)n 1)]

PV = FV [1 (1+i)n]

PV = PMT [((1+i)n 1) (i(1+i)n)]

PMT = PV[(i(1+i)n) ((1+i)n - 1)]

MORTGAGE REPAYMENT TABLE

REPAYMENT (years) Interest p.a. 5 10 15 20 5% 18.87 10.61 7.91 6.60 6% 19.33 11.10 8.44 7.16 7% 19.80 11.61 8.99 7.75 8% 20.28 12.13 9.56 8.36 9% 20.76 12.67 10.14 9.00

10% 21.25 13.22 10.75 9.65 11% 21.74 13.78 11.37 10.32 12% 22.24 14.35 12.00 11.01 13% 22.75 14.93 12.65 11.72 14% 23.27 15.53 13.32 12.44 15% 23.79 16.13 14.00 13.17 16% 24.32 16.75 14.69 13.91 17% 24.85 17.38 15.39 14.67 18% 25.39 18.02 16.10 15.43 19% 25.94 18.67 16.83 16.21 20% 26.49 19.33 17.56 16.99 21% 27.05 19.99 18.31 17.78 22% 27.62 20.67 19.06 18.57 23% 28.19 21.35 19.82 19.37 24% 28.77 22.05 20.58 20.17 25% 29.35 22.75 21.36 20.98

Based on:* 1,000 units of currency* Interest compounded monthly* Equal monthly repayments

Example

Borrow $1,000,000 to be repaid monthly at 10% p.a. over 10 years.

Repayments = 1,000,000 / 1,000 x $13.22 = $13,220 per month

PRIME RATES & BASE LENDING RATESas at 4th Quarter 2011

Country Rate (%) Australia* 4.50 Brunei 5.50 China** 6.90 Egypt*** 10.25 Hong Kong 5.00 India 14.75 Indonesia 6.00 Japan^ 1.60 Macau 5.25 Malaysia 6.60 New Zealand^^ 10.01 Pakistan^^^ 13.97 Philippines 5.74 Singapore 5.38 South Africa 9.00 South Korea+ 3.25 Thailand++ 7.71 United Kingdom 0.50 United States of America 3.25 Vietnam+++ 9.00

Source:DLS branchesCentral Bank of Egypt (www.cbe.org.eg)Reserve Bank of New Zealand (www.rbnz.govt.nz)Bank of England (www.bankofengland.co.uk)www.economagic.comwww.investec.comwww.money-rates.com

* Over Night Cash Rate** 3-Year Benchmark Lending Rate*** Overnight Lending Rate^ Long Term Prime Rate % pa (Implementation 10-Dec-2010)^^ SME Overdraft Rate (Previously Businesss Base Lending Rate)^^^ Weighted Average Lending Rate+ Base Rate of The Bank of Korea ++ Minimum Loan Rate % pa (Average Based on Local Bank)+++ Minimum and in VND per year

UTILITY COSTS FOR SELECTED ASIAN CITIES

CITYEXCHANGE

RATE

ELECTRICITY

DOMESTIC COMMERCIAL/INDUSTRIAL

US$1= US$/kWh US$/kWh

Hong Kong HK$7.80 0.10 0.11

Shanghai RMB6.35 0.097(peak) /0.048(normal)0.16(peak) /

0.077(normal)

Beijing RMB6.35 0.07 0.13

Guangzhou RMB6.35 0.09 0.17 / 0.14

Shenzhen RMB6.35 0.1066 0.048 - 0.183

Macau MOP7.97 0.11 0.12

Kuala Lumpur RM3.15 0.069 - 0.144 0.110 - 0.137

Singapore S$1.25 0.22 0.22

Jakarta IDR8,910 0.089 0.102

WATER FUEL

DOMESTIC COMMERCIAL/INDUSTRIAL DIESEL LEADED UNLEADED

US$/m3 US$/m3 US$/litre US$/litre US$/litre

0.83 0.59 1.52 N/A 2.05

0.46 0.60 1.17 N/A 1.19 - 1.26

0.63 0.98 1.08 N/A 1.13

0.20 0.43 / 0.29 0.84 N/A 1.04

0.361 - 0.721 0.525 1.177 N/A 1.089 - 1.271

0.54 0.66 1.48 N/A 1.99

0.181 - 0.635 0.657 - 0.724 0.57 N/A 0.60

1.44 1.67 1.27 N/A 1.75

0.250 0.475 0.475 N/A 0.505

Bangkok BHT30.00 0.044 - 0.096 0.054 - 0.056

Manila PHP43.00 0.20 - 0.27 0.21

Brunei B$1.26 0.008 - 0.12 0.057 - 0.159

Ho Chi Minh VND21,000 0.091 0.082 - 0.141 / 0.051 - 0.092Bangalore INR50.00 0.078 - 0.196 0.112 - 0.352

New Delhi INR50.00 0.098 - 0.167 0.123 - 0.229

Karachi PKR89.42 0.078 - 0.16 0.16 - 0.23

Seoul KRW1,146 0.155 0.0879

Tokyo JPY78.14 0.277 0.277

0.274 - 0.466 0.306- 0.510 0.951 N/A 1.074

0.56 - 0.65 1.32 1.095 N/A 1.243

0.087 - 0.349 0.484 - 0.524 0.302 0.404 0.421

0.21 - 0.50 0.65 / 0.35 0.995 N/A 0.99 - 1.014

3.083 - 5.507 4.142 - 6.829 0.921 N/A 1.457

3.304 - 5.288 4.865 - 7.932 0.82 N/A 1.328

0.175 - 0.319 0.292 - 0.529 1.105 N/A 0.983

0.311 1.475 1.61 N/A 1.73

2.726 5.170 1.459 N/A 1.639

Basis of Charges in Shenzhen, China Water

Domestic : Within 22m3 = US$ 0.361/m3; 23 - 30m3 = US$ 0.541/m3; 31m3 and above = US$ 0.721/m3

Commercial : US$ 0.525/m3 Industrial : US$ 0.525/m3 Electricity Commercial : US$ 0.158/kWh Industrial : Peak = US$ 0.183/kWh; Normal = US$ 0.138/kWh; Off-peak = US$ 0.048/kWh Unleaded Fuel 90# = US$1.089/litre; 93# = US$1.174/litre; 97# = US$1.271/litre

The above costs are at 4th Quarter 2011 levels

Basis of Charges in Hong Kong, China Water Domestic : 0 - 12m3 = Free of charge; 12 - 43m3 = US$ 0.53/m3; 43 - 62m3 = US$ 0.83/m3; Above 62m3 = US$ 1.16/m3

Electricity (Based on tariff scheme of CLP Holding Limited) Domestic (bi-monthly consumption) 0 - 400kWh = US$ 0.10/kWh; 400 - 1,000kWh = US$ 0.11/kWh; 1,000 - 1,800kWh = US$ 0.12/kWh; Above 1,800kWh = US$ 0.13/kWh

Basis of Charges in Macau, China Water

Domestic : 3 Other charges (Depending on meter size 15mm - 200mm) : Meter rental = US$0.33 - 58.07/month; Minimum consumption fee = US$2.22 - 383/month Commercial/ Industrial :

Charges for ordinary users (e.g. Business, government buildings, schools, associations, hospitals and others) only. Special users (e.g. gaming industries, hotels, saunas, golf cources, construction, public infrastructures and other temporary consumption) are excluded.

Electricity noitpmusnoc ,segrahc dnamed fo noitisopmoc era ffirat yticirtcelE

charges, fuel clause adjustment and government tax.

Basis of Charges in Beijing and Guangzhou, China Unleaded fuel rate is for Unleaded gasoline 97.

Basis of Charges in Shanghai, China Unleaded Fuel 93# = US$1.19/litre; 97# = US$1.26/litre

Basis of Charges in Kuala Lumpur, Malaysia Unleaded fuel rate is for Unleaded petrol Ron 95.

Basis of Charges in Singapore (All rates are nett of GST) Domestic water rate includes conservation tax and water-borne fee and is an average for the 1st 40m3, exclude sanitary appliance fee. Non-domestic water rate includes conservation tax and water-borne fee, exclude sanitary appliance fee. Electricity tariff is based on low tension power supply. Unleaded fuel rate is for 98 Unleaded petrol as at 15 November 2011. Diesel fuel rate as at 15 November 2011.

Basis of Charges in Manila, Philippines Water Domestic : 32m3 - 52m3/month Commercial/Industrial : 3,204m3/month Electricity Domestic : 100kWh - 533kWh Commercial/Industrial : 222,600kWh

Water and Electricity actual billing includes miscellaneous charges such as Environmental Charge, Currency Exchange Rate Adjustment (CERA), VAT, etc.

Basis of Charges in Seoul, Korea Water Domestic = US$0.939/month (basic rate) + US$0.311/m3 (Within 30m3 usage) Commercial = US$77.39/month (basic rate) + US$1.475/m3 (Within 100m3 usage) Electricity Domestic = US$4.757/month (basic rate) + US$0.155/kWh (500kWh below in use) Commercial = US$5.243/month (basic rate) + US$0.0879/kWh (within 1,000kWh, 3,300V - 66,000V)

Basis of Charges in Tokyo, Japan (All rates are VAT inclusive) Water Domestic : Rates for 30mm diameter of water piping + Basic rate of US$41.64. Commercial / Industrial : Rates for 100mm diameter of water piping + Basic rate of US$1,146.28. Electricity 0kWh - 120kWh = US$0.217/kWh; 120kWh - 300kWh = US$0.277/kWh; Over 300kWh = US$0.292/kWh Basic rate = US$3.309 - 10A (ampere); US$9.927 - 30A (ampere); US$19.855 - 60A (ampere) is added.

Basis of Charges in Ho Chi Minh, Vietnam (All rates are VAT inclusive) Water Domestic : Used in norm = US$ 0.21; Used over norm = US$ 0.50 Industrial = US$0.35 Commercial = US$0.65 Electricity Domestic electricity rates are applied to the 301 KW above wards Fuel : Diesel fuel D.O - 0.05% : 92 and 95 Unleaded petrol as at October 2011.

Basis of Charges in Bangkok, Thailand Unleaded fuel rate is for Gasohol 95.

Basis of Charges in Karachi, Pakistan Fuel : The diesel fuel rate is for High Speed Diesel. : The unleaded fuel rate is for Premier Petrol.

Basis of Charges in Brunei Electricity (Domestic) : Tariff effective from 1st Jan 2012. 1-10 kWh 10c, 11-60 kWh 8c, 61-100kWh 12c, above 100kWh 15c

IDD CODES

Source : www.worldtimeserver.com ; www.worldtimezone.com www.timeanddate.com

LOCATIONIDD

COUNTRYCODE

AREACODE

Australia: Melbourne 61 3 Perth 61 8 Sydney 61 2Bahrain 973 -Bangladesh (Dhaka) 880 2Bhutan (Thimphu) 975 2Brunei: Bandar Seri Begawan 673 2 Kuala Belait 673 3Cambodia (Phnom Penh) 855 23Canada: Toronto (Metropolitan) 1 416 Vancouver 1 604/250/ 778China: Beijing 86 10 Guangzhou 86 20 Hong Kong 852 - Macau 853 - Shanghai 86 21 Shenzhen 86 755France (Paris) 33 1India: Bangalore 91 80 Chennai 91 44 New Delhi 91 11 Mumbai 91 22Indonesia: Bali 62 361 Jakarta 62 21Ireland: Cork 353 21 Dublin 353 1Japan: Tokyo 81 3 Osaka 81 6Kazakhstan (Almaty) 7 727Korea (Seoul) 82 2Korea (Pyongyang) 850 2Laos (Vientiane) 856 21

LOCATIONIDD

COUNTRYCODE

AREACODE

Malaysia: Johor Bahru 60 7 Kota Kinabalu 60 88 Kuala Lumpur 60 3 Kuching 60 82 Penang 60 4Mongolia (Ulaanbaatar) 976 11Myanmar (Rangoon) 95 1Nepal (Kathmandu) 977 1New Zealand: Auckland 64 9 Wellington 64 4Pakistan (Karachi) 92 21Philippines (Manila) 63 2Qatar 974 -Singapore 65 -Spain: Barcelona 34 93 Girona 34 972South Africa: Johannesburg 27 11 Cape Town 27 21Sri Lanka (Colombo) 94 1Russia (Moscow) 7 495Taiwan (Taipei) 886 2Thailand: Bangkok 66 2 Phuket 66 76United Arab Emirates: Abu Dhabi 971 2 Dubai 971 4United Kingdom: London 44 20 Edinburgh 44 131USA: Los Angeles 1 213 New York 1 212Vietnam: Ho Chi Minh City 84 8 Hanoi 84 4

WEIGHT AND MEASURES

Metric Measures and Equivalents

LENGTH 1 millimetre (mm) = 0.0394 in 1 centimetre (cm) = 10 mm = 0.3937 in 1 metre (m) = 100 cm = 1.0936 yd 1 kilometre (km) = 1,000 m = 0.6214 mile AREA 1 sq cm (cm2) = 100 mm2 = 0.1550 in21 sq metre (m2) = 10,000 cm2 = 1.1960 yd2 1 hectare (ha) = 10,000 m2 = 2.4710 acres 1 sq km (km2) = 100 ha = 0.3861 mile2 VOLUME / CAPACITY 1 cu cm (cm3) = 0.0610 in3 1 cu decimetre (dm3) = 1,000 cm3 = 0.0353 ft3 1 cu metre (m3) = 1,000 dm3 = 1.3080 yd3 1 litre (l ) = 1 dm3 = 1.76 pt 1 hectolitre (hl ) = 100 l = 21.997 gal MASS (WEIGHT) 1 milligram (mg) = 0.0154 grain 1 gram (g) = 1,000 mg = 0.0353 oz 1 kilogram (kg) = 1,000 g = 2.2046 lb 1 tonne (t) = 1,000 kg = 0.9842 ton USA MEASURES AND EQUIVALENTS USA Dry Measure Equivalents 1 pint = 0.9689 UK pint = 0.5506 l USA Liquid Measure Equivalents 1 fluid ounce = 1.0408 UK fl oz = 29.574 ml 1 pint (16 fl oz) = 0.8327 UK pt = 0.4723 l 1 gallon = 0.8327 UK gal = 3.7854 l

LENGTH 1 inch (in) = 2.54 cm 1 foot (ft) = 12 in = 0.3048 m 1 yard (yd) = 3 ft = 0.9144 m 1 mile = 1,760 yd = 1.6093 km 1 int. nautical mile = 2,025.4 yd = 1.853 km AREA 1 sq inch (in2) = 6.4516 cm2 1 sq foot (ft2) = 144 in2 = 0.0929 m2 1 sq yard (yd2) = 9 ft2 = 0.8361 m2 1 acre = 4,840 yd2 = 4,046.9 m2 1 sq mile (mile2) = 640 acres = 2.59 km2 VOLUME / CAPACITY 1 cu inch (in3) = 16.387 cm3 1 cu foot (ft3) = 1,728 in3 = 0.0283 m3 1 fluid ounce (fl oz) = 28.413 ml 1 pint (pt) = 20 fl oz = 0.5683 l 1 gallon (gal) = 8 pt = 4.5461 l MASS (WEIGHT) 1 ounce (oz) = 437.5 grains = 28.35 g 1 pound (lb) = 16 oz = 0.4536 kg 1 stone = 14 lb = 6.3503 kg 1 hundredweight (cwt) = 112 lb = 50.802 kg 1 ton = 20 cwt = 1.016 t Temperature Conversion oC = 5/9 (oF - 32) oF = (9/5 oC) + 32

oC

oF

Imperial Measures and Equivalents

CONVERSION GUIDEConversion Formulae

To use the conversion formulae simply multiply the Imperial mea-surement by the factor beside the conversion you wish to make. For example 6 inches into milimetres. 6 inches multiplied by 25.4 equals 152.4 milimetres. Conversely if you wish to convert Metric measure into Imperial measure simply divide by the same factor.

LENGTHTo Convert Multiply bymili-inches into micrometres 25.4inches into milimetres 25.4inches into centimetres 2.54inches into metres 0.0254

feet into centimetresfeet into milimetres 304.8

30.48feet into metres 0.3048yards into metres 0.9144fathoms into metres 1.8288chains into metres 20.1168furlongs into metres 201.168miles, statute into kilometres 1.609344miles, nautical into kilometres 1.852

VOLUME & CAPACITYTo Convert Multiply bycubic inches into cubic centimetres 16.387064cubic inches into litres 0.016387cubic feet into cubic metres 0.0283168cubic feet into litres 28.316847

UK quarts into litresUK pints into litres 0.5682613

1.1365225cubic yards into cubic metres 0.7645549UK gallons into litres 4.54609UK gallons into cubic metres 0.0045461UK fluid ounces into cubic centimetres 28.413063

POWERTo Convert Multiply byfoot pounds-force per second into watts 1.35582horsepower into watts 745.7foot pounds-force per second into kilowatts 0.001356horsepower into kilowatts 0.7457horsepower into metric horsepower 1.01387

AREATo Convert Multiply bysquare inches into square milimetres 645.16square inches into square centimetres 6.4516square feet into square centimetres 929.0304square feet into square metres 0.092903

square yards into (0.01 hectare)square yards into square metres 0.836127

0.0083613acres into square metres 4046.8564acres into hectares 0.4046856square miles into square kilometres 2.589988

MASSTo Convert Multiply bygrains into miligrams 64.79891grains into metric carats 0.323995grains into grams 0.064799pennyweights into grams 1.555174

ounces troy into gramsounces into grams 28.349523

31.103477ounces into kilograms 0.0283495pounds into kilograms 0.4535924stones into kilograms 6.35023932hundredweights into kilograms 50.802345tons into kilograms 1016.0469tons into metric tonnes 1.01605tahils into grams 37.799kati into kilograms 0.60479

PUBLIC HOLIDAYS2011 2012

MALAYSIANew Years Day**Chinese New YearProphet Muhammads BirthdayLabour DayWesak DayKing/Agongs BirthdayHari Raya Aidilfitri*National DayMalaysia DayHari Raya Qurban*Deepavali*Awal MuharramChristmas Day

* Subject to change** Except Johor, Kelantan, Kedah, Perlis & Terengganu# Except Kelantan & Terengganu## The following day will be an additional Public Holiday

01 03 - 04

15011704

30 - 31311606262725

JanFebFebMayMayJunAugAugSepNovOctNovDec

01 23 - 24

05010502

19 - 20311626131525

Jan##Jan#Feb##MayMayJunAug##AugSep##OctNovNovDec

PAKISTANKashmir DayEid-e-Milad-un-Nabi* (Birth of Prophet)Pakistan DayLabour DayIndependence DayEid al-Fitr (End of Ramadan)*Allama Muhammad Iqbal DayEid-ul-Azha* (Feast of the Sacrifice)Ashoura*Quaid-e-Azams Birthday

*Subject to change

0516

230114

30 Aug-09

07 - 09 06 - 07

25

FebFeb

MarMayAug

01 SepNov

NovDecDec

0505

230114

19 - 21 09

26 - 27 24 - 25

25

FebFeb

MarMayAugAugNov

OctNovDec

2011 2012

CHINANew Years Day@Chinese New Years EveChinese New Year*Tomb-Sweeping Day**Labour Day+Dragon-Boat Festival#Mid Autumn FestivalNational Day^

@ 2nd and 3rd Jan are holidays, 31 Dec is working day.* 25th to 28th Jan are holidays.** 2nd and 3rd Apr are holidays, 31st Mar and 1st Apr are working days.+ 29th and 30th Apr are holidays, 28th Apr is working day.# 22nd and 24th Jun are holidays.^ 4th to 7th Oct are holidays.

0102

03 - 0405010612

01 - 03

JanFebFebAprMayJunSepOct

0122

23 - 2404012330

01 - 03

JanJanJanAprMayJunSepOct

BRUNEINew Years Day**Chinese New YearProphet Muhammads Birthday**National DayRoyal Brunei Armed Forced Ann.Israk Miraj**His Majestys Birthday**First Day of Ramadhan*Ann. Revelation of the Holy Koran*Hari Raya Aidilfitri*Hari Raya Aidilfitri* (2nd day)Hari Raya Aidil Adha* & **First Day of Hijrah* & **Christmas Day*

Fridays and Saturdays are government off days* Subject to change** Replacement for Fridays / Sundays

0103152331291601173031072825

JanFebFebFebMayJulJulAugAugAugAugNovNovDec

0223062331181621062021261525

JanJanFebFebMayJunJulJulAugAugAugOctNovDec


MACAUNew Years Day*The first working day after New Years Day#Lunar New Year Eve (Afternoon)Lunar New YearChing Ming FestivalGood FridayThe day following Good Friday*Easter Monday#Labour DayThe Buddhas Birthday*The first working day after the Buddhas Birthday#Tung Ng FestivalThe first working day after the Tung Ng Festival#Banks HolidayThe day following Chinese Mid-Autumn FestivalNational DayChong Yeung FestivalAll Souls DayFeast of the Immaculate Conception*The first working day after the Feast of the Immaculate Conception#Macao SAR Establishment DayWinter Solstice*Christmas EveChristmas DayBanks HolidayNew Years Eve (Afternoon)#

* Not applicable to Bank# Special Holiday Granted by Chief Executive.^ As the day following Chinese Mid-Autumn Festival and National Day fall on the same day, one additional holiday will be granted following the National Day.

01

- 02

03 - 0505

22 23 25

01 - 0210

-06

-01

13 01 - 03

0502

08

-202224

25 - 2627 -

Jan

-FebFebAprAprAprAprMayMay

-Jun

-Jul

SepOctOctNov

Dec

-DecDecDecDecDec -

01

02 -

23 - 2504

06 07 09 01

28

3023

2502

01 01

2302

08

10202124

252631

Jan

Jan -JanAprAprAprAprMayApr

AprJun

JunJul

OctOct^OctNov

Dec

DecDecDecDecDecDecDec

2011 2012

INDONESIANew Years Day 01 Jan 01 JanChinese New Year (Imlek) 03 Feb 23 JanProphet Muhammads Birthday 15 Feb 05 FebHindu Day of Quiet (Nyepi) 05 Mar 23 MarGood Friday 22 Apr 06 AprWaicak Day (Buddha Birthday) 17 May 06 MayAscension Day of Jesus Christ 02 May 17 MayAscension Day of Prophet

Muhammad* 29 Jul 17 JunNational Independence Day 17 Aug 17 AugIdul Fitri* 30 Sep 19 Aug

31 Sep 20 AugIdul Adha Day 06 Nov 26 OctHijriyah New Year 27 Dec 15 Nov

* Subject to changeChristmas Day 25 Dec25 Dec

HONG KONGThe First day Of JanuaryLunar New Years DayChing Ming FestivalGood FridayEaster MondayBuddhas BirthdayLabour DayTuen Ng FestivalHKSAR Establishment DayThe day following Chinese Mid-Autumn FestivalNational DayChung Yeung FestivalChristmas Day# When public holiday falls on Sunday, the following Monday is an alternative holiday.* As the day following Chinese Mid-Autumn Festival and National Day fall on the same day, one additional holiday will be granted following the National Day.

01 03 - 05

05 22 - 23

2510

01 - 020601

130105

25 - 27

JanFebAprAprAprMayMayJunJul

SepOctOctDec

01 23 - 25

04 06 - 07

0928

0123

01

010123

25 - 26

Jan#JanAprAprAprAprMayJunJul#

Oct*Oct*OctDec


JAPANNew Years Day*Coming of Age DayNational Foundation Day*Spring Equinox Day*Day of Showa*Constitution Memorial Day*Greenery Day*Childrens Day*Marine DayRespect-for-Senior-Citizens DayAutumnal Equinox Day*Physical Fitness DayCultural Day*Labor Thanksgiving Day*The Emperors Day*

*When Public Holiday falls on Sunday, the following Monday is an alternative holiday.

011011212903040518192310032323

JanJanFebMarAprMayMayMayJulSepSepOctNovNovDec

020911203003040516172208032323

JanJanFebMarAprMayMayMayJulSepSepOctNovNovDec

INDIANew Years DaySankranthiRepublic DayGood FridayMay DayIndependence DayGandhi JayanthiKarnataka Formation DayDeepavaliChristmas Day

0114

2622011502012625

JanJanJanAprMayAugOctNovOctDec

0114

2606011502011325

JanJanJanAprMayAugOctNovNovDec

2011 2012KOREANew Years DayLunar New Year (Seol)Independent Movement DayBuddhas BirthdayChildrens DayMemorial DayLiberation DayFull Moon Day (Chuseok)National Foundation DayChristmas Day

01 02 - 04

0110050615

11 - 1303 25

JanFebMarMayMayJunAugSepOctDec

01 23 - 24

0128050615

29 - 0103 25

JanJanMarMayMayJunAugOctOctDec

PHILIPPINES (Regular Holidays)

Regular HolidaysNew Years DayMaundy ThursdayGood FridayAraw ng KagitinganLabour DayIndependence DayEnd of Eid-ul-FitreNational Heroes DayEid-ul AdhaBonifacio DayChristmas DayRizal Day

Special Holidays(Non Working Holidays)Ninoy Aquino DayAll Saints DayLast Day of the Year

012122

090112313007302530

210131

JanAprAprAprMayJunAugAugNovNovDecDec

AugNovDec

010506

090112193026302530

210131

JanAprAprAprMayJunAugAugOctNovDecDec

AugNovDec


SINGAPORENew Years DayChinese New YearGood FridayLabour DayVesak DayNational DayHari Raya PuasaHari Raya HajiDeepavali*Christmas Day*Subject to changes^ The following Monday will be a public holiday

01 03 - 04

2201170930062625

JanFebAprMayMayAugAugNovOctDec

01 23 - 24

0601050919261325

Jan^JanAprMayMayAugAug^OctNovDec

TAIWANFounding DayLunar New Years EveLunar New YearReplacement HolidayPeace Memorial DayWoman Day and Childrens DayChing Ming FestivalLabour DayDragon Boat FestivalMid-Autumn FestivalDouble Ten DayReplacement Holiday

* As 4-Feb is adjusted to work, this day is adjusted to holiday.@ As 3-Mar is adjusted to work, this day is adjusted to holiday.# As 22-Dec is adjusted to work, this day is adjusted to holiday.

0102

03 - 07 -28040501061210 -

JanFebFeb -FebAprAprMayJunSepOct -

0122

23 - 27*272804040123301031

JanJanJanFeb@FebAprAprMayJunSepOctDec#

2011 2012THAILANDNew Years DayChinese New Year*Makha Bucha DayChakri Memorial daySongkran FestivalNational Labour DayCoronation DayRoyal Ploughing Ceremony Day+Visakha Bucha DayMid Year Bank Holiday#Asarnha Bucha DayKhao Phansa Day (Buddhist Lent)+H.M. The Queens BirthdayChulalongkorn dayH.M. The Kings BirthdayConstitution DayNew Years Eve

*Unofficial Chinese Community Only# Banks only+ Government only1 Substitute for 31 Dec 2011 (Sat)2 Substitute for 14 Apr (Sat)3 Substitute for 05 May (Sat)4 Substitute for 12 Aug (Sun)

03031806

13 - 1502051317011518

1224051231

JanFebMarAprAprMayMayMayMayJulJulJulAugOctDecDecDec

02230706

13 - 1601070904010203

1323051031

Jan1JanMarAprApr2MayMay3MayJunJulAugAugAug4OctDecDecDec

VIETNAM (Normal Scheduled Holidays)Solar New YearLunar New YearHung Vuong King CelebrationLiberation Day of SaigonInternational Labour DayNational DayChristmas Day* Substitute for 1 Jan (Sun)** Substitute for 22 Jan (Sun)# Substitute for 31 Mar (Sat)^ Substitute for 2 Sep (Sun)

03 03 - 07

1202

030225

JanFebAprMayMaySepDec

02 23 - 26**

0230

010325

Jan*JanApr#AprMaySep^Dec

ABOUT USFirst established in 1934 in Singapore under the name "Waters and Watson" we survived the Second World War to become the pre-eminent Quantity Surveying and Construction cost Management firm in Asia - operating for many years as Lang-don Every and Seah. One of our early partners, Mr. Seah Mong Hee, was the first Chartered Surveyor (RICS) in the world.

Our Hong Kong office opened in 1949 and we quickly estab-lished ourselves as the leading firm in the profession.

Following a series of global mergers, Davis Langdon & Seah International was founded in 1990. As we begin 2012, Davis Langdon & Seah has grown to almost 3,000 staff in 40 offices across Asia, and continues to cooperate with Davis Langdon in Europe & Middle East, USA, Australia & New Zealand and Africa - forming a network of over 100 offices across more than 30 contries.

We entered the China market in 1984, introducing modern cost management techniques to its newly evolving construction market. Our initial commissions were from Hong Kong and foreign developers investing in China, although we have since then further developed our client base to include state owned enterprises and local privatedevelopers. We now have 16 offices across China located in Hong Kong, Shanghai, Beijing, Guangzhou, Shenzhen, Macau, Chongqing, Wuhan, Tianjin, Shenyang, Chengdu, Foshan, Hangzhou, Dalian, Sanya and Suzhou with a total staff count of around 1,400.

For over 60 years, DLS Hong Kong/China has been proac-tively providing world-class construction consulting services for all types of building and infrastructure projects. We are com-mitted to further extending our professional expertise to related fields and further expanding our activities in China to support the needs of our clients as they explore one of the world's larg-est and fastest growing markets.

QUALITY MANAGEMENT SYSTEMNowadays an effective Quality Management System is one of the core elements in any kind of business. Davis Langdon and Seah Hong Kong Limited aims to provide not merely quantity surveying services but also the highest quality services to meet clients' requirements.

We launched our Quality Management System in 1993 and have continually upgraded our quality standards since then.

Davis Langdon & Seah Hong Kong Limited achieved certification to ISO 9001: 1987 by the Hong Kong Quality Assurance Agency in October 1994 to cover quantity surveying services. We were certifies to ISO 9001: 1994 in October 1995.

The following further displays our commitment to the continual improvement of our Quality Management System:

(i) June 2009 saw Davis Langdon & Seah Hong Kong Limited being certified to the ISO 9001: 2008 standard.

(ii) In December 2009, the Hong Kong office of Davis Langdon & Seah China Limited was certified to the ISO 9001:2008 standard.

(iii) In September 2010, Davis Langdon & Seah Macau Limited was certified to the ISO 9001:2008 standard.

Plans are currently well advanced to further extend our HKQAA ISO certification to all our offices in China.

CONSTRUCTION COSTS FOR HONG KONG

The above costs are at 4th Quarter 2011 levels.

BUILDING TYPEHK$/m2

BUILDING SERVICES TOTAL

DOMESTICPublic rental housing, high rise 6,055 - 6,810 1,045 - 1,350 7,100 - 8,160Private housing estates, high rise 14,035 - 14,780 2,455 - 3,320 16,490 - 18,100Private luxury apartments, high rise 15,805 - up 3,325 - 4,220 19,130 upTerraced houses 19,065 - 20,490 2,255 - 2,860 21,320 - 23,350Individual prestige houses 27,485 up 2,455 - 3,610 29,940 up

OFFICE/COMMERCIAL 12,340 - 13,350 4,150 - 5,280 16,490 - 18,630 16,470 up 4,850 - 6,130 21,320 up

Average standard shopping centres 11,840 - 14,770 4,700 - 5,430 16,540 - 20,200Prestige shopping centres 16,420 up 4,900 - 6,130 21,320 up

HOTELS

3-star budget hotels, inclusive of F.F. & E. 15,070 - 16,630 4,930 - 5,700 20,000 - 22,3305-start luxury hotels, inclusive of F.F. & E. 21,470 up 5,330 - 6,550 26,800 up

INDUSTRIAL

6,980 - 7,410 1,750 - 2,330 8,730 - 9,740

15 kpa (300 lb.) loading 7,640 - 8,590 2,000 - 2,580 9,640 - 11,170

OTHERS

Carparks, above ground 6,210 - 6,480 1,300 - 2,050 7,510 - 8,530Primary and secondary schools 9,120 - 9,330 2,050 - 2,850 11,170 - 12,180International schools 10,960 - 11,680 3,000 - 3,950 13,960 - 15,630Student hostels 8,790 - 10,060 3,150 - 3,950 11,940 - 14,010Sports clubs inclusive of F.F. & E. 15,270 - 16,970 5,350 - 6,900 20,620 - 23,870

Average standard office, high risePrestige offices, high rise

Light duty flatted factories, 7.5 kpa (150lb.) loadingHeavy duty flatted factories and warehouses,

M&E COSTS FOR HONG KONG

BUILDING TYPEHK$/m2

MECHANICAL SERVICES

ELECTRICAL SERVICES

FIRE SERVICES

LIFTS/ ESCALATORS

HYDRAULIC SERVICES

TOTAL SERVICES

DOMESTICPublic rental housing, high rise - - 450 - 550 75 - 120 200 - 250 320 - 430 1,045 - 1,350Private housing estates, high rise 650 - 850 850 - 1,050 75 - 120 330 - 550 550 - 750 2,455 - 3,320Private luxury apartments, high rise 1,100 - 1,300 1,050 - 1,300 75 - 120 450 - 650 650 - 850 3,325 - 4,220Terraced houses 850 - 1,100 850 - 1,050 55 - 110 - - 500 - 600 2,255 - 2,860Individual prestige houses 850 - 1,400 1,050 - 1,500 55 - 110 - - 500 - 600 2,455 - 3,610

OFFICE/COMMERCIAL 1,600 - 1,950 1,300 - 1,650 430 - 550 550 - 750 270 - 380 4,150 - 5,280 1,900 - 2,350 1,600 - 1,950 430 - 550 650 - 900 270 - 380 4,850 - 6,130

Average standard shopping centres 1,950 - 2,150 1,400 - 1,600 430 - 550 650 - 750 270 - 380 4,700 - 5,430Prestige shopping centres 1,950 - 2,400 1,600 - 1,950 430 - 550 650 - 850 270 - 380 4,900 - 6,130

HOTELS3-star budget hotels, inclusive of F.F. & E. 1,750 - 1,950 1,500 - 1,750 430 - 550 450 - 550 800 - 900 4,930 - 5,7005-start luxury hotels, inclusive of F.F. & E. 1,850 - 2,150 1,750 - 2,150 430 - 550 450 - 650 850 - 1,050 5,330 - 6,550

INDUSTRIAL

(150 lb.) loading 380 - 500 450 - 650 250 - 300 450 - 550 220 - 330 1,750 - 2,330

warehouses, 15 kpa (300 lb.) loading 380 - 500 650 - 850 250 - 300 500 - 600 220 - 330 2,000 - 2,580

OTHERSCarparks, above ground 200 - 550 450 - 650 250 - 300 250 - 350 150 - 200 1,300 - 2,050Primary and secondary schools 550 - 850 850 - 1,050 250 - 350 150 - 250 250 - 350 2,050 - 2,850International schools 1,300 - 1,600 1,050 - 1,400 250 - 350 150 - 250 250 - 350 3,000 - 3,950Student hostels 650 - 850 1,400 - 1,600 350 - 450 150 - 250 600 - 800 3,150 - 3,950Sports clubs inclusive of F.F. & E. 2,500 - 3,000 1,800 - 2,500 450 - 600 250 - 350 350 - 450 5,350 - 6,900

The above costs are at 4th Quarter 2011 levels.


Light duty flatted factories, 7.5 kpa

Heavy duty flatted factories and

BUILDING COST TRENDS IN HONG KONG

Historical TPI values from 1970 onwards available at www.dlsqs.com.* Provisional

Source : Architectural Services Department, Hong Kong, SAR Refer to www.archsd.gov.hk for further information.

* Up to Q2 only

YEARINDEX

(Base = 100, at Year 1970)

Q1 Q2 Q3 Q4

2000 1,079 1,057 1,040 1,020 2001 990 960 945 935 2002 915 890 875 840 2003 855 878 895 895 2004 940 952 933 930 2005 945 955 963 970 2006 970 980 985 990 2007 1,020 1,074 1,175 1,150 2008 1,239 1,360 1,355 1,281 2009 1,245 1,242 1,253 1,273 2010 1,297 1,315 1,342 1,367 2011 1,385 1,425 1,452 1,476*

YEARINDEX

(Base = 100, at Year 1970)

Q1 Q2 Q3 Q4

2000 959 873 858 844 2001 862 842 807 721 2002 687 742 692 733 2003 720 723 722 681 2004 685 712 704 701 2005 711 716 718 697 2006 714 730 751 789 2007 821 859 906 998 2008 1,118 1,305 1,401 1,262 2009 1,074 983 1,111 1,107 2010 1,134 1,161 1,249 1,266 2011* 1,273 1,320

* 1/11 to 8/11 onlySource : Civil Engineering and Development Department, Hong Kong, SAR Refer to www.cedd.gov.hk/eng/index.htm for further information.

YEARHYD CONST. COST

INDEX(Nov. 1975 Value = 100)

CEDD CIVIL ENGINEERING WORKS INDEX(1980 Value = 100)

2000 844 419 2001 838 416 2002 839 416 2003 848 419 2004 871 428 2005 869 429 2006 886 436 2007 917 450 2008 1,031 500 2009 950 461 2010 989 481 2011* 1,061 518

LABOUR INDEX IN HONG KONG

Figures above are the quarterly average of the monthly indices

Source: Census and Statistics Department, Hong Kong, SAR Refer to www.censtatd.gov.hk for further information.

* Up to Q2 only

YEARINDEX

(Base = 100, at June 1995)

Q1 Q2 Q3 Q4

2000 152 153 154 154 2001 152 152 152 151 2002 150 150 149 148 2003 147 146 146 143 2004 143 140 140 138 2005 137 136 133 132 2006 131 133 134 136 2007 137 135 131 130 2008 129 128 128 129 2009 129 128 129 130 2010 131 131 131 132 2011* 133 134

MATERIAL PRICES IN HONG KONGGALVANIZED MILD STEEL ANGLE



REBAR

SAND

ORDINARY PORTLAND CEMENT



Source: Organization of the Petroleum Exporting Countries (OPEC) Refer to www.opec.org for further information.

Source: International Monetary Fund Refer to www.imf.org for further information.

CRUDE OILCOPPER GRADE A

ESTIMATING RULES OF THUMB AND DESIGN NORMS FOR HONG KONG

CFA TO GFA RATIO

Building Type CFA : GFA

Residential 1.15 to 1.25 : 1

1.15 to 1.25 : 1

Hotel 1.30 to 1.45 : 1

FUNCTIONAL AREA DISTRIBUTION IN 5-STAR HOTELS

Functional Area % of Total Hotel CFA

Front of House 15 - 20%

Guestroom Floors 50 - 60%

Back of House 25 - 30%

DIMENSIONS OF TYPICAL GRADE A OFFICE SPACE

Component Dimension

Distance from curtain wall to core wall 9 - 13 m

Population 9 m2 usable floor area/person

Average waiting interval for lifts 30 - 40 seconds

DENSITY OF BASIC MATERIALS FOR STRUCTURE

Material Density

Concrete 2,400 kg/m3

Cement 1,450 kg/m3

Sand 1,600 kg/m3

Aggregate 1,600 kg/m3

Steel 7,843 kg/m3

AVERAGE LOADS VOLUME

Lorry (24 ton) 10.0 m3

Concrete truck (24 ton) 5.5 m3

Barge 200 - 1,450 m3

AVERAGE PILING RATIO - BORED PILES

Building Type m2 CFA / m2 cross section area of piles

Residential 200 - 300

200 - 250

Hotel 200 - 300

AVERAGE PILING RATIO - DRIVEN H-PILES

Building Type m2 CFA / No. of piles

Residential 50 - 90

50 - 80

Hotel 50 - 90

AVERAGE PILING RATIO - PRE-BORED H-PILES

Building Type m2 CFA / No. of piles

Residential 70 - 120

70 - 110

Hotel 70 - 120

All pile ratios are for high-rise buildings with normal soil conditions.

BUILDING STRUCTURE - CONCRETE RATIO

0.4 m3/m2 to 0.5 m3/m2

Reinforcement

AVERAGE EXTERNAL WALL/FLOOR RATIO

Residential Apartments 1.0 m2/m2

0.4 m2/m2

Industrial 0.4 m2/m2

Office / CommercialOffice / Commercial

Office / Commercial

Office / Commercial

Concrete/floor area

Formwork/floor area 2.2 m2/m2 to 3.0 m2/m2

160 kg/m3 to 250 kg/m3

Office, Hotel

AVERAGE INTERNAL WALL/FLOOR RATIO

Residential Apartments 1.0 m2/m2 0.5 m2/m2

Hotel 1.5 m2/m2

The above ratios are indicative and for reference purposes only. They do not account for buildings with specialshapes, configurations or particularly small foot prints.

AVERAGE LIGHTING LEVEL Building Type LuxResidential 300

500Retail 400Hotel 300School 300 - 500

AVERAGE POWER DENSITY

Building Type VA/m2 CFAResidential 80 - 100

70Retail 300 - 400Hotel - Accommodation 30Hotel - F&B Area 550School 50

AVERAGE COOLING LOAD

Building Type m2 Cooling Area/RTResidential 18 - 23

14 - 18Retail 12-14Hotel 23School 23

DIMENSIONS OF PARKING SPACES

MinimumType of Vehicle Length Width Headroom Private Cars and Taxis 5 m 2.5 m 2.4 m

Light Goods Vehicles 7 m 3.5 m 3.6 m

Medium/Heavy Goods Vehicle 11 m 3.5 m 4.7 m

Container Vehicles 16 m 3.5 m 4.7 m

Coaches and Buses 12 m 3.5 m 3.8 m

Light buses 8 m 3 m 3.3 m

Minimum headroom means the clearance betweenthe floor and the lower most projection from the ceilingincluding any lighting units, ventilation ducts, conduitsor similar

INDICATIVE DIMENSIONS FOR SPORTS GROUNDS

Length WidthTennis Court 40 m 20 m

Squash Court 10 m 6.4 m

Basketball Court 34 m 20 m

Volleyball Court 36 m 20 m

Badminton Court 20 m 10 m

Ice Rink 61 m 26 m

Soccer Pitch 120 m 90 m

The above dimensions are for a single court with appropriate clearance. No spectator seating or support area has been allowed.

Office

Office

Office

Office

CONSTRUCTION ACTIVITY IN HONG KONG

* 1/11 to 9/11 onl y# As from January 2003 onwards, statistics by Buildings Department

on "Consent to Commence" are published with 2 sub-divisions, viz. "First Submission" and "Major Revision". Details can be found in the Buildings Department's "Monthly Digest".

YEAR COMPLETEDm2CONSENT TO COMMENCE

m2

2000 1,515,000 1,850,000 2001 1,354,000 1,388,000 2002 1,908,000 1,372,000

2003 # 1,587,000 1,683,000

2004 # 1,720,000 1,115,000

2005 # 1,227,000 1,476,000

2006 # 1,389,000 1,398,000

2007 # 1,030,000 1,539,000

2008 # 1,097,000 997,000

2009 # 815,000 1,075,000

2010 # 1,139,000 1,210,000 2011#* 750,000 791,000

Source: Census and Statistics Department, Hong Kong, SAR Buildings Department, Hong Kong , SAR Refer to www.censtatd.gov.hk and www.bd.gov.hk for further information.

CONSTRUCTION VALUE IN HONG KONG

* 1/11 to 9/11 only


YEARVALUE IN NOMINAL

TERMSHK$ MILLIONS

VALUE IN CONSTANT (2000) MARKET PRICE

HK$ MILLIONS

2000 122,071 114,691 2001 113,986 111,385 2002 106,000 108,677 2003 99,032 106,274 2004 93,171 100,615 2005 90,851 98,275 2006 90,230 96,269 2007 92,866 96,844 2008 99,599 97,024 2009 100,944 93,683 2010 111,274 100,278 2011* 91,332 78,106

FIREE RECORDALS TRACKER: NOVEMBER 2011 UPDATESince May 2007, any injection of foreign capital in foreign-invested real estate enterprises (FIREEs) must be recorded with the PRC Ministry of Commerce (MOFCOM). These FIREE recordals provide a useful perspective on the trend and pace of new foreign capital inflow into the China real estate sector. How-ever, the FIREE recordal statistics do not disclose the actual amount of foreign capital involved in each transaction.

Baker & McKenzie has been tracking FIREE recordals announced by MOFCOM since May 2007. Set out below are some FIREE recordal statistics and data current up to the end of November 2011. In summary:

The total number of FIREE recordals for November 2011 was 95, up from 60 in October 2011.

The total number of FIREE recordals in 2008, 2009 and 2010 were 1,051, 991 and 1,094 respectively.

Since May 2007, cumulatively, there have been 5,614 FIREE recordals up to the end of November 2011. This includes 2,486 cases of new project operating entities being established, 2,562 cases of capital increase or M&A transactions (involving capital increase) related to existing project operating entities, and 238 cases of M&A transactions which do not involve any capital increase.

1. FIREE recordals: monthly from 1 Jan 2009 to 30 Nov 2011:

2. Cities with the highest number of FIREE recordals from May 2007 to Nov 2011:

3. Types of FIREE recordals from May 2007 to Nov 2011:

About the FIREE Recordal Regime

The regulatory regime for recording foreign-invested real estate enterprises was first established in May 2007 by MOFCOM and the State Administration of Foreign Exchange (SAFE). This FIREE recordal regime was part of a scheme of regulatory mea-sures introduced between 2006 to 2007 to monitor and control foreign investment in the real estate sector at a time when the central government considered the real estate sector to be over-heated. This regime controls all types of foreign capital inflow being injected into the real estate sector for purposes such as the setting up of new entities, capital increases and mergers & acqui-sitions. Foreign capital flowing into China cannot be converted into Renminbi (Chinas legal currency) unless and until the FIREE recordal process has been completed with MOFCOM and SAFE.

Since July 2008, the provincial-level commerce authorities have been charged with the primary responsibility of vetting the legal compliance of FIREE-related transactions. MOFCOM reserves the right to conduct random checks on the recordals filed by the provincial-level commerce authorities. Generally, within one to two weeks of receiving an electronic submission from a provincial-level commerce authority, MOFCOM will release the new FIREE recordal on its public website. Only then can the local bureau of SAFE and the local commercial bank credit the foreign currency funds into the accounts of the transaction parties con-cerned. In December 2008, MOFCOM further simplified the local recordal procedures such that the general office of the provincial governemnt is no longer required to jointly endorse the recordal form with the provincial-level commerce authority.

In December 2010, MOFCOM announced Notice 1542, which requires local bureaus of MOFCOM to use the FIREE recordal regime to slow down new foreign investment into the PRC real estate sector.

Provided by :

Mr. Rico Chan Ms. Barbara LiPartner Partner

+852 2846 1971 +86 10 6535 [email protected] [email protected]

Baker & McKenzie Hong Kong Office Baker & McKenzie Beijing Office

HONG KONG GENERAL CONSTRUCTION INSURANCE

This section provides general information regarding construction insurance arrangements in Hong Kong.

It is common place for Hong Kong construction contracts to con-tain provisions as to insurances such as Employees Compensa-tion Insurance, Third Party Liability Insurance, Works Insurance and, on occasion, Professional Liability Indemnity Insurance. For employers, the insurance placement ensures that the contractual indemnities are backed by a financial institution that can afford to pay. For contractors, it provides a certain degree of protection to ensure that he has the means to pay in the event of mishaps.

The insurances may be effected by the contractor (Contractor Controlled Insurance Programme or CCIP) or be taken out by the employer (Employer Controlled Insurance Programme or ECIP). CCIP tends to be the most common insurance arrangement in Hong Kong, since the contractor is in control of all site operations and in a better position to manage its own site safety / risk. As a poor safety record will count against the contractor in premiums negotiation in the procurement of insurance, CCIP provides an incentive for better safety / risk management. On the other hand, ECIP placement leaves the control of the insurance programme in the hands of the employer, thereby offering the advantage of pro-viding comprehensive insurance coverage on a project-wide basis and hence minimizing overlaps and gaps in insurance coverage.

Employees Compensation

Section 40(1) of the Employees Compensation Ordinance states that no employer shall employ any employee unless there is a policy of Employees Compensation Insurance in place. The maxi-mum penalty for failing to comply with HK$100,000.

Under the Ordinance, the principal contractor shall take out insur-ance for his employees and all of the employees of subcontractors with a limit of indemnity of HK$200 million per event (or HK$100 million if the number of employees is less than 200).

Since an injured worker could attempt to sue the employer, the employer will want to ensure the contractor has taken out insur-ance in joint names with the employer.

Contractors' All Risks Insurance

A Contractors' All Risks policy generally comprises (i) Third Party Insurance which covers injury to persons (except the Contractors own workmen) or damage to property (other than the Works), due to the carrying out of the Works which may or may not be caused by a default of the contractor. The policy is normally subject to a maximum reimbursement per incident but unlimited in the number of incidents, (ii) Contract Works Insurance which covers damage caused to the Works itself by risks not excluded from the policy and (iii) Plant & Equipment Insurance which covers the contractors plant and equipment used in the Works. Plant & Equipment Insurance is not normally required under the contract conditions and is voluntarily purchased by the contractor.

ACMV COSTS FOR VARIOUS DESIGNSAND DEVELOPMENTS IN HONG KONG

Professional Indemnity Insurance

For construction contracts involving contractors design, it is not uncommon for the employer to require the contractor and his design consultants and independent checking engineers to obtain insurance to cover their liability for design. For Government Con-tracts, the Professional Indemnity Insurance shall cover the con-tractor's liability for design generally for the construction period and a further 6 years.

SPECIFIED FORMS FOR BUILDINGS ORDINANCE OR REGULATIONS FOR HONG KONG

FORM NO. PURPOSERELEVANT

SECTION OFREGULATION

BA1 Application for inclusion in the authorized persons' register / structural engineers' register / geotechnical engineers' register. BOs 3(6)

BA1A Application for retention of name in the authorized persons' register / structural engineers' register / geotechnical engineers' register. BOs 3(9B)

BA1B Application for restoration of name to the authorized persons' register / structural engineers' register / geotechnical engineers' register. BOs 3(12)

BA2 Application for registration as a general building contractor / specialist contractor. BOs 8B

BA2A Application for renewal of registration as a registered general building contractor / registered specialist contractor. BOs 8C(2)

BA2B Application for restoration of name to the register of general building contractors / specialist contractors. BOs 8D(2)

BA2C Ordinance for a registered general building contractor / registered specialist contractor. BOs 8B

BA4 Notice of appointment of authorized person and/or registered structural engineer and/or registered geotechnical engineer. B(A)R 23(1A)

BA5 Application for approval of plans of building works and/or street works, and certificate of preparation of plans. B(A)R 29(1) & 18A

BA6 B(A)R 18

BA7 Notice of urgent works required as a result of accident or emergency. BOs 19(3), B(A)R 28

BA8 Application for consent to the commencement and carrying out of building works or street works. B(A)R 31

BA9 Application for renewal of consent to the carrying out of building works or street works. BOs 20(2)

BA10 Notice of appointment of registered contractor, notice of commencement of building works or street works and undertaking by registered contractor. B(A)R 20

BA11 in respect of that part of the building works or street works carried out by the registered contractor. B(A)R 24

BA12 and application for temporary occupation permit in respect of such building or part. B(A)R 25, BOs 21(2)

BA13 B(A)R 25, BOs 21(2)

BA14 B(A)R 25 & 26

BA14A B(A)R 25

BA15 Notice of intended material change in the use of a building. BOs 25(1)

BA16 made thereunder. BOs 42(2)

BA17 Application for permit to erect a temporary building. B(P)R 51

BA18 Application for permit to erect a contractor's shed. B(P)R 53(1)

BA19 Application for permit to erect hoardings, covered walkways or gantries. B(P)R 64

BA20 Notice of technically competent person or persons appointed to supervise demolition works. B(DW)R 8(3)

BA21Notice of nomination by authorized person or registered structural engineer or registered geotechnical engineer of another authorized person or registered structural engineer or registered geotechnical engineer to act in his stead during temporary inability to act.

B(P)R 23(2)

BA22 Application for authorization to carry out and/or maintain groundwater drainage works. BOs 28B(1)

BA23 Application for grant/renewal of licence for an oil storage installation. B(OSI)R 6(1) & 7(3)

BA24 / registered general building contractor / registered specialist contractor. B(A)R 45

Source : Buildings Department, Hong Kong, SAR. Refer to www.bd.gov.hk for further information.

Application for approval of technical director / other office / person appointed to act for the purposes of the Building

Stability certificate of authorized person and/or registered structural engineer.

Notice from a registered contractor on ceasing to be appointed in respect of building works or street works and certificate

Certificate on completion of building works resulting in a new temporary building, a new building or part of a new building

Certificate on completion of demolition works

Certificate on completion of building works not resulting in a new building or street works.

Certificate on completion of building works resulting in a new building and application for permit to occupy such building.

Application for modification of and/or exemption from the provisions of the Buildings Ordinance and/or Regulations

Notification to the Building Authority of change of business address of authorized person / registered structural engineer

SUMMARY OF BUILDING REGULATIONS FOR HONG KONG

Source: Buildings Ordinance, Hong Kong, SAR Refer to www.legislation.gov.hk for further information.

DESCRIPTION NUMBER OFREGULATIONS

Administration 48

Appeal 14

Construction 93

Demolition Works 13

6

Oil Storage Installations 12

Planning 72

Private Street and AccessRoads 28

Refuse Storage Chambers andChutes 25

Standards of Sanitary Fitments, Plumbing, Drainage Works and Latrines

91

Ventilating Systems 7

Energy Efficiency

PERCENTAGE SITE COVERAGE AND PLOT RATIOS FOR HONG KONG

OPEN SPACE ABOUT DOMESTIC BUILDINGS

Item Class of site Open space required

1. Class A site Not less than one-half of

the roofed-over area of the building

2. Class B siteNot less than one-third of the roofed-over area of the building

3. Class C siteNot less than one-quarter of the roofed-over area of the building

DEFINITION

Class A Site : Not being a class B or class C site, that abuts on one street not less than 4.5 m wide or on more than one such street.

Class B Site : A corner site that abuts on 2 streets either of which is less than 4.5 m wide.

Class C Site : A corner site that abuts on 3 streets none of which is less than 4.5 m wide.

Height ofBuildingin metres

DOMESTIC BUILDINGS

Percentage site coverage Plot Ratio

ClassA

site

ClassB

site

ClassC

site

ClassA

site

ClassB

site

ClassC

site

Not over 15 m 66.6 75 80 3.3 3.75 4.0

15 m to 18 m 60 67 72 3.6 4.0 4.3

18 m to 21 m 56 62 67 3.9 4.3 4.7

21 m to 24 m 52 58 63 4.2 4.6 5.0

24 m to 27 m 49 55 59 4.4 4.9 5.3

27 m to 30 m 46 52 55 4.6 5.2 5.5

30 m to 36 m 42 47.5 50 5.0 5.7 6.0

36 m to 43 m 39 44 47 5.4 6.1 6.5

43 m to 49 m 37 41 44 5.9 6.5 7.0

49 m to 55 m 35 39 42 6.3 7.0 7.5

55 m to 61 m 34 38 41 6.8 7.6 8.0

Over 61 m 33.33 37.5 40 8.0 9.0 10.0

Source: Buildings Ordinance, Hong Kong, SAR Refer to www.legislation.gov.hk for further information.

NON-DOMESTIC BUILDINGS

Percentage sitecoverage Plot Ratio

ClassA

site

ClassB

site

ClassC

site

ClassA

site

ClassB

site

ClassC

site

100 100 100 5 5 5

97.5 97.5 97.5 5.8 5.8 5.8

95 95 95 6.7 6.7 6.7

92 92 92 7.2 7.4 7.4

89 90 90 8.0 8.1 8.1

85 87 88 8.5 8.7 8.8

80 82.5 85 9.5 9.9 10.2

75 77.5 80 10.5 10.8 11.2

69 72.5 75 11.0 11.6 12.0

64 67.5 70 11.5 12.1 12.6

60 62.5 65 12.2 12.5 13.0

60 62.5 65 15 15 15

CONSTRUCTION COST SPECIFICATION FOR HONG KONG The costs for the respective categories given on the previous pages are averages based on fixed price competitive tenders. It must be understood that the actual cost of a building will depend upon the design and many other factors and may vary from the figures shown.

The costs per square metre are based on construction floor areas measured to the outside face of the external walls/external perim-eter including lift shafts, stairwells, balconies, plant rooms, water tanks and the like.

All buildings are assumed to have no basement (unless otherwise stated) and to be built on flat ground, with normal soil conditions. The costs exclude external works, land costs, professional fees, finance and legal expenses.

The standards for each category of buildings vary from country to country. Standards representing by the construction costs of other regions published hereinafter do not necessarily follow those of Hong Kong.

DOMESTIC

Public rental housing is based on Hong Kong Housing Authority Non-standard Cruciform Block design.

Private housing estates are based on blocks containing 30-50 storeys, with average unit size not greater than 100 m2. Single glazed windows. Tiled or plastered finishes in general.

Air conditioning, kitchen cabinets and home appliances are included for private housing estates, private luxury apartments, terraced houses and prestige houses.

All types of domestic construction include provision of functional light fittings only and no feature light fittings have been allowed. Fitting out works and loose furniture are also not included.

OFFICE/COMMERCIAL

Office based on buildings 20-30 storeys high with floor plans mini-mum 1,000 m2 per level.I

Average standard offices and shopping centres exclude finishes, A/C ducting and light fittings to tenants areas.

Prestige offices have curtain wall elevations and granite finishes lobbies, with raised floor, suspended ceiling, A/C ducting and light fittings to tenants areas.

INDUSTRIAL

Flatted factories exclude manufacturing equipment, air-conditioning, electrical distribution systems and special services provisions to tenants areas.

HOTELS

F.F. & E. includes interior decoration and loose furniture etc. but excludes pre-opening expenses and hotel operation system and equipment costs (e.g. cutlery, crockery, linen, uniform, etc.).

Includes 1 level of basement.

OTHERS

Carparks to be multi-storey.

Primary and secondary schools with standard government provi-sions.

International Schools with upgraded facilities.

Student hostels to university standard.

Sports club to the standard of the Government's indoor recre-ational centre.

FIT-OUT COSTS FOR HONG KONG

BUILDING TYPE HK$/m2

HOTELS

Public Areas (Front of House) : 3-star Hotel 7,600 - 11,500

4-star Hotel 12,000 - 16,000

5-star Hotel 17,000 up

Guest Rooms : 3-star Hotel 6,000 - 7,400

4-star Hotel 7,500 - 10,000

5-star Hotel 10,000 up

Notes :1. Includes furniture, floor, wall and ceiling finishes, drapery, sanitary fittings and light fittings.2. Excludes partitioning, M&E works, building shell, chandeliers, operational items and equipment (e.g. cutlery, crockery, linen, television, refrigerator etc.)., openinig expenses, stage equipment and computer systems.

OFFICES

4,800 - 7,400

7,500 - 10,500

10,500 up

Notes :1. Local/Taiwanese/PRC furniture allowed

for general offices2. Includes furniture, partitioning, electrical work, minor alteration to air-conditioning, fire services and suspended ceiling to suit layout.3. Excludes telephones, data cabling, office equipment (e.g. computers, photocopiers, fax machines, UPS, etc).

BUILDING TYPE HK$/m2

DEPARTMENT STORES

General department store 6,000 - 9,300Prestige department store 10,000 up

Notes : 1. Includes electrical work, additional FCU and minor alteration of fire services to suit layout.

2. Excludes facade modification, data cabling, operational items and equipment (e.g. computers, P.O.S, office equipment) and opening expenses.

RESTAURANTS

General dining restaurant 7,600 - 15,000

Fine dining restaurant 16,000 up

Notes :1. Includes furniture, floor, wall and ceiling finishes, electrical work, minor alteration to air-conditioning and fire services installation to suit layout, exhaust for kitchen2. Excludes exhaust flue, operational items (e.g. cutlery, crockery, linen, utensils, etc.).

General office

Executive office

Prestige office

UNIT COSTS FOR ANCILLARY FACILITIESFOR HONG KONG

DESCRIPTION UNIT HK$

SQUASH COURTS

Single court with glass backwall including associated mechanical and electrical services but excluding any public facilities (enclosing structure not included).

per court 420,000

TENNIS COURTS

Single court on grade with acrylic surfacing and complete with chain link fence.

per court 870,000

surfacing and complete with chain link fence.

per court 980,000

Extra for lighting. per court 300,000

SWIMMING POOLS

Half Olympic (25m x 10.50m) outdoor swimming pool built into ground, fully tiled; complete with 5m wide deck and associated pool equipment and ozonesystem.

per pool 5,500,000

PLAYGROUND EQUIPMENT

Outdoor playground equipment comprising various activities. per set

250,000 to

650,000

DESCRIPTION UNIT HK$

SAUNAS

Sauna room for 4-6 people complete with all accessories (enclosing structure not included).

per room 130,000

STEAM BATHS

Steam bath for 4-6 people complete with all accessories (enclosing structure not included).

per room 130,000

GOLF COURSES

(Based on average cost of an 18-hole golf course)

Excluding associated buildings and equipment.

per hole

7,000,000 to

13,000,000

GOLF SIMULATOR

Golf simulation system complete with projector, high impact projection screen, artificial turf, recording system and control computer with software (enclosing structure not included). per set 550,000

Single court on grade with artificial turf

2012 OUTLOOKChina: Riding on the wave of recovery from 2010 and despite continued volatility in the global economy, the quarters of 2011, but was clouded by growing uncertainty in the property market towards the end of the year.

The volume of construction works performed in 2011 grew at about 25% per annum, close to the rate in each of the preceding two years. However, the rate of growth for new-start floor areas in the real estate sector has slowed down slightly. This is likely because, on the one hand, the build-up of demand prior to the 2010 economic rebound has been released, whilst at the same time, the central government has taken decisive action to curb soaring residential property prices.

The Government has adopted a series of measures to reduce speculative activities by property developers and end-users alike including purchase limits, credit restrictions, a premium on the benchmark mortgage rate and higher down payments. Given the fact the Government has stated its long term goal is to keep prop-erty prices stable, these measures will likely be in place for some time. The credit crisis in the US coupled with the sovereign debt problems in the Eurozone has weakened the global economy, resulting in a slow-down of fixed asset investment activities across China. Given these conditions, private sector activity is likely to stablilise and we are unlikely to see another 2010-style boom any-time soon.

A positive note is that the Government does not intend to cut the supply of residential property. In fact, it has committed to provide 36 million affordable public housing units in the coming five years. Of this, 10 million are to start each year in 2011 and 2012. When compared to the number of residential units started by the public and private sectors in 2010 (circa 5.8 million and 13 million respectively), this new initiative accounts for about half of the total floor area of all building works. On the face of it, this potential volume of new public works should be able to outweigh the pos-sible slowdown in the private sector.

However, the distribution of these 10 million units to various regions may not be in direct proportion to the scale of construction capacity in each region. For example, Chongqings construction output in 2010 was only 2.6% of the whole country, but their allo-cation of affordable public housing units for 2011 represents 5% of the countrys annual target (i.e. 500,000). On the other hand, Bei-jing and Shanghai performed 5.5% and 4.5% of the national total output in 2010, but are assigned only 200,000 and 260,000 units respectively. This apparent divergence may be partly explained by the fact that Beijing and Shanghai have relatively more com-mercial and infrastructure construction. However, it remains to be seen if this policy results in more localised variances in construc-tion costs across the country.

Within the industry, both material prices and labour wages con-tinur to be influenced by inflation in living and and production costs. Both the Consumer Price Index and Producer Price Index had at one stage surged to 3-year highs, before d

Documents

LS Construction Cost Handbook 2012