Crossrail construction contracts let at low prices
 

Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail’s Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a “£200Mplus” contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

Crossrail construction contracts let at low prices
 

"Bruce" wrote in message
...
Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail's Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a "£200Mplus" contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

Squeezing until pips pop out.

Crossrail construction contracts let at low prices
 

On Thu, 24 Nov 2011 21:14:36 +0000, Pat O'Neill wrote:

"Bruce" wrote in message

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will build
Farringdon station for a "£200Mplus" contract on the Crossrail scheme
for major works at Farringdon station, a statement from the JV said. It
was originally expected to cost up to £375M.

Squeezing until pips pop out.

Look at it this way: it'll leave so much more credit on Tony's card that
can be spent on transport projects in Scotland.

The Teuchters will get their new ferry yet, just see!

--
Speaking only for myself

Crossrail construction contracts let at low prices
 

On Nov 24, 9:14*pm, "Pat O'Neill" wrote:
"Bruce" wrote in message

...



Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail's Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a "£200Mplus" contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

Squeezing until pips pop out.- Hide quoted text -

- Show quoted text -

I wouldn't like to be the resident engineer on those jobs as the
contractor pulls out all the stops to make up the lost cash.

George

Crossrail construction contracts let at low prices
 

On 24/11/11 21:05, Bruce wrote:
BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

I wonder if all the Crossrail planning has been to the same high standard.

Ian

Crossrail construction contracts let at low prices
 

On Nov 24, 9:05*pm, Bruce wrote:
Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail’s Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a “£200Mplus” contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

I believe the original estimates will have included an "optimism bias"
mark up

Patrick

Crossrail construction contracts let at low prices
 

"D1039" wrote in message
...
On Nov 24, 9:05 pm, Bruce wrote:
Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail’s Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a “£200Mplus” contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

I believe the original estimates will have included an "optimism bias"
mark up

Patrick

Putting the pips back in.

Crossrail construction contracts let at low prices
 

D1039 wrote:
On Nov 24, 9:05*pm, Bruce wrote:
Posted without comment:

Contractors reveal cut price deals for latest Crossrail contract
awards

24 November, 2011

Crossrail’s Farringdon and Whitechapel main station contracts will be
delivered for less than half the anticipated £625M price, it has
emerged today.

The two winning consortiums will deliver the stations for a combined
£310M.

BBMV, a joint venture of Balfour Beatty, Morgan Sindall and Vinci
Construction, will build Whitechapel station for £110M. It was
originally expected to cost up to £250M.

A three-way joint venture of Kier, Bam Nuttall and Ferrovial will
build Farringdon station for a “£200Mplus” contract on the Crossrail
scheme for major works at Farringdon station, a statement from the JV
said. It was originally expected to cost up to £375M.

I believe the original estimates will have included an "optimism bias"
mark up


True, and the original cost estimates were made at a time when
construction prices were not only at a record high, but projected to
continue rising at a rapid rate.

The recession hit construction very hard and there is no sign of any
recovery. On the contrary, forward order books are at a very low
level. So prices have dropped considerably.

I gather from someone I know at Crossrail that the overall estimated
cost for the project has now dropped by around **£2 billion** from the
original estimates. I think that means we are now looking at an
outturn cost of around £14.7 billion at 2009 prices.

Crossrail construction contracts let at low prices
 

Bruce wrote:



I believe the original estimates will have included an "optimism bias"
mark up


True, and the original cost estimates were made at a time when
construction prices were not only at a record high, but projected to
continue rising at a rapid rate.

The recession hit construction very hard and there is no sign of any
recovery. On the contrary, forward order books are at a very low
level. So prices have dropped considerably.


Is it fair to think that most building works for the Olympic Games are
finished now ?

I do hope quantities are calculated right....


Theo

--
From the heath in the North of Belgium

Crossrail construction contracts let at low prices
 

"Bruce" wrote in message
...

True, and the original cost estimates were made at a time when
construction prices were not only at a record high, but projected to
continue rising at a rapid rate.

The recession hit construction very hard and there is no sign of any
recovery. On the contrary, forward order books are at a very low
level. So prices have dropped considerably.

I gather from someone I know at Crossrail that the overall estimated
cost for the project has now dropped by around **£2 billion** from the
original estimates. I think that means we are now looking at an
outturn cost of around £14.7 billion at 2009 prices.

Isn't that traditionally one of the arguments for a programme of public
works in recessionary times - that you can get good value for money?

Regards

Jonathan