Modification Specification: The model’s purpose is to help the facilities manager at a university determine the most economical and economically viable way to develop an undercover vehicle park. This will address concerns about occupational safety and health, and also solve the problem of inadequate undercover parking. It takes into consideration the construction cost, the revenue earned by car parking fees and the time needed to create different options.
- Every car space needs 20 square metres, plus a allowance for access and paths.
- The building cost per square meter is $150 per floor.
- Each year, the university is entitled to $400 for parking spaces.
- It would take approximately 0.5 years for a one-storey parking garage to be constructed.
- It would take 1 year to build a two-storey parking garage.
- Construction of three floors takes 1.2 years.
- The construction of the facility should be completed immediately. It should also last for at least ten years.
- In the analysis, a discount rate for expenses is applied of 4%
- At 3% annually, revenues will increase.
- Future changes will see the fee increase to $400 per automobile.
- The development of an underground car park for a site measuring 11,349 square meters. This is to determine which solution will be the most economical and financial.
- It is possible to calculate how long it will take the university for its investment in the new parking lot to be profitable.
- This model doesn’t account for any possible changes in demand for parking at the university.
- This model doesn’t consider other uses of the site, which is 11,349 sq. meters.
- This model can calculate the costs for construction of different car parks based upon the number of floors, and the $150/square-meter building cost.
- This model uses the numbers of cars and $400 per year to calculate car parking revenue.
- This model uses the costs and revenues from parking fees to calculate how long it will take the university for them to recover their investment.
Guide for the User:
- Enter the floor plan and number of spaces you require.
- Add $150 per sq. m per floor to calculate the construction cost.
- Add $400 per year for car parking fees
- For different options, enter the amount of time required to build the parking lot.
- Add the expenses inflation rate of 4.4% to your discount rate.
- To determine which option is most economical and economically viable for developing an underground car park, run the model.
- It will include the costs associated with construction as well the revenue generated from parking fees. The university will also be able to estimate the period it will take to recover its investment in the car park.
- Executive Summary
The university should construct a 3-storey carpark based on this analysis. This would be the quickest option to build and produce the greatest revenue through car parking fees. It would take approximately 5.3 year for the university to break even on their investment in the new parking lot.