SAMPLE · FICTIONAL PROJECT
Tender review

Hillview Residence, 14 Hillview Crescent, Torquay VIC

For Marlowe Architects
Ref CD-2609-7K3M · v1
Tenders 3 received, closed 19 Sep 2026
Basis Tender set Rev C + Addenda 1–2, engineering issued
Reviewed against Pre-tender cost plan CD-2608-Q2NP (Aug 2026)
Issued 26 Sep 2026
The short version
Cost plan
$1,240,000
ex GST, 15% margin printed
Kestrel Build
$1,187,500
as submitted · $1,268,900 like-for-like
Ironbark Constructions
$1,262,000
as submitted · $1,262,000 like-for-like
Southgate Homes
$1,098,000
as submitted · $1,301,400 like-for-like

Recommendation: shortlist Ironbark. It is the only tender that prices the whole set. Kestrel is $52,500 under the plan on paper but leaves out site cut and fill and carries a joinery allowance $38,000 under the plan; adjusted, it lands $6,900 over Ironbark. Southgate's number is not real: 14 exclusions and a $45,000 provisional sum for the roof push it $39,400 above Ironbark once made like-for-like. Ask the three questions in section 5 before you recommend, and ask Ironbark to hold its price for 30 days.

1 · Side by side

Every tender against the cost plan, by trade

Thin = priced more than 15% under the plan without an explanation in the tender. Heavy = more than 15% over. Silent = not priced and not excluded, so it is in nobody's number. Figures ex GST.

TradeCost planKestrelIronbarkSouthgate
Preliminaries and supervision168,000152,000 ok176,500 ok118,000 thin
Demolition and site cut / fill42,000— silent44,800 okexcluded
Concrete, slab and footings96,000101,200 ok98,400 ok92,500 ok
Carpentry, framing and roof structure188,000181,000 ok194,200 ok171,000 ok
Roofing and rainwater48,00046,500 ok49,900 okPS 45,000 PS
Windows and external doors112,000108,900 ok114,300 ok96,000 thin
Cladding and external finishes74,00079,800 ok72,100 ok61,000 thin
Plumbing and drainage58,00056,200 ok61,000 ok54,000 ok
Electrical and data52,00049,800 ok55,600 ok38,900 thin
Heating, cooling and ventilation46,00061,000 heavy47,200 okexcluded
Plaster and internal linings54,00052,700 ok55,900 ok49,000 ok
Joinery98,00060,000 thin96,500 okPC 55,000 PC
Tiling, waterproofing and stone44,00043,100 ok46,800 ok39,000 ok
Painting32,00030,500 ok33,400 ok27,600 ok
Floor finishes28,00027,200 ok29,100 okexcluded
Fixtures, fittings and appliances (PC items)38,00038,00038,00038,000
External works and landscapingexcludedexcludedexcludedexcluded
Margin and overheads162,000 (15%)99,600 (9%)148,300 (13%)not stated
Tender as submitted1,240,0001,187,5001,262,0001,098,000
Kestrel's 9% margin on a $1.2M architectural build is below what this trade breakdown can carry. It usually shows up later as a variation habit, not a saving.
2 · Scope gaps and silent exclusions

What each tender leaves out

Kestrel Build · 3 gaps
  • Site cut and fill not priced and not excluded (silent). Plan: $42,000.
  • Joinery priced at $60,000 with no joiner named. Plan: $98,000 for the drawn package.
  • Termite management noted "by others" on p.4, not in the exclusions list.
Ironbark Constructions · 0 gaps
  • Every drawn item priced or excluded in the schedule. Exclusions match the tender document.
  • Carries the Addendum 2 window revision (Rev C sizes).
Southgate Homes · 14 gaps
  • Excludes site works, mechanical, floor finishes, external lighting, protection works and 9 more.
  • Roof carried as a $45,000 provisional sum against a fully documented roof.
  • Preliminaries at $118,000 do not cover a 44-week programme.
3 · Provisional sum and prime cost exposure

Where the number can still move after signing

ItemPlan allowanceKestrelIronbarkSouthgateExposure
Rock excavation (PS)12,000not carried12,000excludedSite has a known rock shelf. A tender without this item will claim it.
Joinery (PC / package)98,00060,00096,500 quotedPC 55,000Under-allowed joinery is the commonest post-contract blowout on this house type.
Roofing (PS)pricedpricedpricedPS 45,000A PS against fully documented work means the builder has not priced it.
Tapware and sanitary (PC)18,00018,00018,00018,000Consistent. Selections still to be made.
Appliances (PC)20,00020,00020,00020,000Consistent.
4 · Like for like

Each tender with the gaps filled at the plan's allowances

KestrelIronbarkSouthgate
As submitted1,187,5001,262,0001,098,000
Silent and excluded scope added at plan allowances+ 54,000—+ 158,400
Under-allowed items brought to plan+ 38,000—+ 45,000
Provisional sums realistically assessed———
Margin below 12% normalised— (noted, not added)—not stated
Like-for-like1,268,9001,262,0001,301,400
Against the cost plan+2.3%+1.8%+5.0%
5 · Questions to ask before you recommend

Put these in writing to each tenderer

Kestrel Build

  • Confirm site cut, fill and rock excavation are in the price, or give a figure.
  • Name the joiner behind the $60,000 and confirm it covers the full drawn package including the study and window seats.
  • Confirm the 9% margin is the whole of overheads and profit.

Ironbark Constructions

  • Confirm the price holds for 30 days and the programme is 44 weeks from possession.
  • Confirm the mechanical figure includes the two ducted zones as drawn, not the alternative on Addendum 1.

Southgate Homes

  • Reprice the roof from the documents instead of the $45,000 provisional sum.
  • Price the 14 excluded items or confirm they are the owner's.
  • State the margin.
6 · Recommendation memo

To Marlowe Architects · Re Hillview Residence tenders · 26 Sep 2026

Three tenders were received against the Rev C set. Assessed like for like, they sit within 2% to 5% of the pre-tender cost plan of $1,240,000, which says the documents were priced fairly and the plan was sound.

Ironbark Constructions at $1,262,000 is the only complete tender and is recommended for shortlisting. Kestrel Build's $1,187,500 becomes $1,268,900 once site works and joinery are made real, and its margin is thin enough to expect variations. Southgate Homes' $1,098,000 is not comparable as submitted.

Before recommending Ironbark to the client, obtain written answers to the two questions in section 5 and a 30-day price hold. If Kestrel answers its three questions with figures inside the plan's allowances, it becomes a genuine second option.

Prepared by Costd from the tender documents, the addenda and the pre-tender cost plan. An opinion of probable cost and tender completeness, not a quotation or legal advice. Costd is a service of Building Integrity Group Pty Ltd, registered builder.