Project Feasibility Study

The paper mainly showcases the feasibility study as well as the timeline review that was mainly done for the residential development within the area 5-55 Chaston Street, Wagga Wagga. It is found that the residential development was selected in the area of Waga Waga as the population of the region is more than 20,000 residents and thus the availability of residency within that area will be helpful for both the business as well as for the residents of that area. It is found that the total amount that was funded for the project will be around $800,000 by a real estate development business. The feasibility study as well as timeline is generally done before the initiation phase of the project for ensuring the project is economically feasible and the time that is required for completion of the project is justified.

The paper analyzes both the feasibility as well as timeline of the project by utilizing real as well as statistical data. In addition to this, the paper also discusses micro environment business drivers as well as macro environment business drivers for identifying the factors that assists in driving the entire business of residency towards success.

It is an analysis, which is mainly utilized for measuring the likelihood and capacity of accomplishing the entire project effectively within the budget, and time that is expected by meeting all the objective and requirements of the project (Schadde et al. 2015). The project feasibility analysis is mainly used for analyzing that project success for making sure that the project which is mainly commenced is feasible and the project will not face any type of financial challenges. It is found that similarly before the residency development it is quite necessary to undertake proper feasibility study of the project for analyzing that the project that will be commenced will be economically feasible or not. The feasibility study that is conducted for the residency development is mainly reflected in the table below that shows that the residency development project is quite feasible.

The feasibility analysis that was undertaken is mainly done by analyzing the values of some of the factors that are significant for determining the project feasibility. The factors that are used for calculating the feasibility of the residency development is mainly illustrated below:

Conveyancing fees: Conveyancing fees are mainly paid when the land transfer takes places. It is one of the legal act that is mainly done for transferring the property from the seller to the owner. It is identified that during land transfer, it is found that both deeds as well as lease are required.

Factors used for calculating feasibility

Stamp duty: It is considered as a task that is generally needed to be imposed on the documents which are mainly associated with land transfer. When the transfer of the land takes place, then certain amount is mainly levied on the land, which is further known as the stamp tax, which is needed to be paid (Ma, Yang and Lu 2014). For the residency development, it is found that the amount that is paid as stamp tax will be around $12,000

Monthly rate of the council: It is considered as the charge or rate that is required to provide to the local council of that area so that they can support the project. It is found that the amount that is required to be paid to be local council does not remain constant and it varies with number of factors (Breen et al. 2016).

Monthly fees of agent: The agents are paid with certain mount of money on a monthly basis so that they can be capable of providing with the resources and requirements that are needed for the project without failure.

Equity value: it is generally considered as one of the best way that can be used within the business for properly evaluating the profit that is mainly gained through valuation as well as sales (Chen, Chen and Jin 2015). It is analyzed that the concept of equity value provides appropriate valuation that assists in giving different and unique view to the project.

Monthly landlord insurance: It is one of the policy of insurance that is done on the property or duplex in order to provide the coverage of the amount that is lost due to any types of reasons including the reason of rental penalties (Diamond, McQuade and Qian 2018).

Monthly rental income: The money that is received from resident development as rent from the tenants is considered as the rental income (Song 2017). It is found that some of the clients does not have enough money to buy the residency at once and thus they use monthly payment system which provides them the opportunity of paying the amount later on a monthly basis.

Estimated duplex value: the amount that is generally required for the residency development is considered as the estimated value of the duplex. In this project, it is identified that around $800,000 is required for the duplex residency development.

Minimum size allotment: the size of the land is generally allotted in poles or by using the method of perches. It is found that in this technique of land measurement, 10 poles is equals to 250 square meters and thus the land that is allotted for residency development will be around allotted in poles(Channell 2018).

Project constraints

Constraints

The project constraints are listed below:

Budget: Budget is considered to be one of the constraint for the project because it is the responsibility of the manager to finish the project within the amount that is sponsored by the real statement development business otherwise it will be quite difficult to progress die to number of financial issues.

Schedule: It is necessary to follow the schedule that is created before the initiation of the project because schedule slippage can extend the completion date of the project which further can increase the project budget. Thus, it is important to finish the project by following single tasks of the schedule.

Scope: It is quite essential to use the scope of the project for finishing the project successfully. It is found that inappropriate project scope can raise issue in finishing the project within the mentioned deadline.

Goals

The main goal of the project is to conduct both timeline as well as feasibility study for determining the time and the feasibility of the project for the residency development in 5-55 Chaston Street, Wagga Wagga. Both the feasibility and timeline study are beneficial in driving the project of residency development towards success.

Macro environment business drivers mainly includes a collection of factors like social., technological as well as economical that are quite essential for taking the business towards success. It is found that the factors are generally helpful in arising that whether the factors are playing important role in driving the business or not (Ngo et al. 2016). In the project of residential development, it is analyzed that there are number of macro environment related factors that are found to be beneficial in driving the business towards achievement of success. The factors are illustrated below:

Economic: Economy is one of the macro environment factor that plays a great role in the business and it generally assists in creating impact on both the purchase as well as spending. It is found that in residency development project, the money that will be received as income is from the rent (Gurhan-Canli, Hayran and Sarial-Abi 2016). It is found that the money that is gained as income needs to be compared with the investment that is made for making sure that the residency development project as driven economically.

Demographic: It is considered as one of the macro environment factors that are mainly related with the people and it analyzed that the region of Waga Waga is populated and thus this factor will be helpful in driving the business positively (Todeschini et al. 2017). It is analyzed that this particular factors gives number of opportunities to the business for flourishing.

Macro environment business drivers

Competitive: It is analyzed that the population of the Waga Waga region is not much low and thus the chances of presence of other competitors are high. Thus the business needs to provide quite opportunities as well as services for attracting the clients towards business so that the business can achieve success. 

The microenvironment mainly includes the factors that mainly help in affecting the process, performance of the entire business. It is found that the analysis is generally conducted for making sure that which factor is helpful in driving the business towards success. The factors include:

Technical expertise: It is found that skills as well as technical expertise are the factors that are very much essential for driving the business. It is found that if the project staffs are not experienced and knowledgeable then they will not be able to complete the work of the project and as a result, the success of the project can get impacted. This it is always necessary to have skilled as well as experienced team members within the project who will be able work properly as per their skills and can be able to finish the task successfully within time.

Suppliers: It is one of the important factor that makes the business successful. This factor assists in creating proper link between the business and the proper delivery system. It is found that in the residency development project, suppliers are the people who help in providing all the materials and other resources for the project (Testa et al. 2016). Thus if the suppliers are able to supply all the need materials and resources on time then the entire project will be completed successfully.

Market intermediaries: It help in making the business successful as it mainly reflects on number of business and marketing related strategies(Grimstad and Burgess 2014).. It is analyzed that this factors utilized by the residency development business for attracting customers as well as getting profit from the business.

Other people related considerations: Customers are considered as the central and most significant part of the business as they are the ones who can raise the revenue of the business (Maak, Pless and Voegtlin 2016). Therefore, it is quite necessary to adopt strategies that are helpful in driving the customers.

Time related pressure: It is quite necessary to handle the pressure effectively so that the business can be derived towards success (Fathi et al. 2016). If the team members are not capable of taking pressure during work then they can face number of challenges in finishing the project.

Conclusion

It can be concluded that the development of project timeline and feasibility analysis are quite important for initiating the project. From the feasibility study, is analyzed that the project that will be undertaken is economically feasible and the entire project will be completed within assumed time. In addition to this, it is found that analysis of both micro and macro environment is necessary for identifying factors that helps in driving the business in achieving success 

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