Executive Summary
allocated a 2.5% budget increase for green building
impacts for the Certified and Silver rated scenarios
construction costs). The new budget allocation will
falls below the 5% estimating accuracy that would
be enough to ensure that projects can achieve
normally be expected of early conceptual estimates.
LEED Certified ratings; however, project teams will
In addition, the construction cost impacts for all of
be encouraged to achieve the highest level of
the rated scenarios, including Gold, fall below the
LEED rating that is practical within the overall
10% design contingency that is carried in most
budget. With the revised budget allotments (which
GSA project budgets at the concept phase. These
will likely vary between 2.5% and 4.0%, depending
numbers imply that in some scenarios (depending
on the project), the study indicates that many Silver
on the design solution, market conditions, and
rated buildings should be possible, as well as
other contingency factors), a LEED rating could
occasional Gold rated projects.
potentially be achieved within a standard GSA
project budget (without a green building budget
The opportunity to achieve Silver ratings or higher
allowance). By including a dedicated green building
is also supported by GSA's general project
allowance, the potential for GSA buildings to
contingencies and by the accuracy allowances of the
achieve higher LEED rating levels - with the
cost estimates themselves. As illustrated in Figure
attended benefits - is substantially greater.
ES-1, the range of estimated construction cost
FIGURE ES-1
GSA LEED Construction Cost Impacts vs. Estimating Accuracy and Design Contingency
Design
Contingency
10.0%
9.0%
8.0%
7.0%
6.0%
Estimating
Accuracy
5.0%
Previous GSA
4.0%
Budget Allocation
3.0%
for LEED (2.5%)
2.0%
1.0%
0.0%
-1.0%
C ertified
S ilver
Gold
C ertified
S ilver
Gold
Courthouse
Office Building
GSA LEED COST STUDY
8
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