Cost Approach: Cost Analysis of Improvements (BUSI 330.16) You must analyze the costs of the improvements of the subject property using either replacement OR reproduction cost. BUSI 330.16 must be completed regardless of whether you are calculating reproduc- tion or replacement cost. Students may gather this data using ONE of the following methods: 1. A contractor's estimate. Include the name and address of the contractor, as well as the cost new estimate they provided. A written estimate is ideal, but not required. OR 2. The comparative method, using recently constructed buildings similar to the subject. Include the address and the source of the cost information. Appropriate adjustments must be provided to address any dissimilarities between the properties that impact the cost estimate. OR 3. An online cost estimating program or cost manual. You must explain the provider of the cost data. A cost summary sheet showing detailed calculations must be included in the addenda of the report. If computer services are used, include both the input and output forms. If you choose to use two sources of costing, then these two figures must be reconciled into one final cost. Any extra items not included in the overall basic cost should be calculated separately and added to the above basic cost. Site improvements for the purposes of this course, the estimate of the reproduction/replacement cost new of site improvements can be a rough estimate, unsupported by market data. You must estimate the age/life of site improvements in order to provide their depreciated value. Cost Approach: Cost Analysis of Improvements (BUSI 330.16) You must analyze the costs of the improvements of the subject property using either replacement OR reproduction cost. BUSI 330.16 must be completed regardless of whether you are calculating reproduc- tion or replacement cost. Students may gather this data using ONE of the following methods: 1. A contractor's estimate. Include the name and address of the contractor, as well as the cost new estimate they provided. A written estimate is ideal, but not required. OR 2. The comparative method, using recently constructed buildings similar to the subject. Include the address and the source of the cost information. Appropriate adjustments must be provided to address any dissimilarities between the properties that impact the cost estimate. OR 3. An online cost estimating program or cost manual. You must explain the provider of the cost data. A cost summary sheet showing detailed calculations must be included in the addenda of the report. If computer services are used, include both the input and output forms. If you choose to use two sources of costing, then these two figures must be reconciled into one final cost. Any extra items not included in the overall basic cost should be calculated separately and added to the above basic cost. Site improvements for the purposes of this course, the estimate of the reproduction/replacement cost new of site improvements can be a rough estimate, unsupported by market data. You must estimate the age/life of site improvements in order to provide their depreciated value