Progress on construction site. The works need to be valued

Interim Valuations – A Review of the Quantity Surveyors Role

In the realm of construction projects, quantity surveying plays a vital role in ensuring effective cost management and project control. One of the significant tasks undertaken by quantity surveyors is the preparation of interim valuations. In this article, we will explore the key elements of quantity surveying in interim valuations, focusing on the UK market. Whether you are a beginner in the field or simply curious about the process, this guide will provide you with valuable insights to understand and manage interim valuations.

1. Understanding Interim Valuations:

Interim valuations are regular assessments of construction projects to determine the value of work completed within a specified period. These assessments allow for accurate payment to contractors, sub-contractors, and suppliers based on the progress made. Quantity surveyors are responsible for evaluating and verifying the work done against the agreed-upon contract terms and conditions.

2. Measurement and Quantification:

Accurate measurement and quantification of work are crucial in interim valuations. Quantity surveyors employ various methods, such as taking off quantities from drawings and bills of quantities, to determine the extent of completed work. They use industry-standard measurement rules, such as the New Rules of Measurement (NRM), to ensure consistency and transparency in their assessments.

3. Progress Monitoring:

Quantity surveyors closely monitor project progress to establish the percentage of work completed during the interim valuation period. They collaborate with project managers and site engineers to obtain reliable information about the stage of construction, allowing them to accurately reflect the value of completed work.

4. Valuation of Variations:

During construction, changes to the original scope of work often occur, leading to variations in the contract. Quantity surveyors must assess and value these variations separately in interim valuations. They consider the impact on costs, time, and resources caused by variations and ensure fair compensation for the changes made.

5. Valuation of Materials on Site:

Interim valuations include valuing the materials on site. Quantity surveyors assess the quantity, quality, and value of materials stored on-site, ensuring accurate measurement and appropriate payment. This evaluation also considers the value-added tax (VAT) and any storage costs associated with the materials.

6. Assessing Retention:

Retention is a common practice in construction contracts, where a percentage of the payment is withheld until the project’s completion. Quantity surveyors calculate the amount of retention to be withheld based on the agreed-upon terms. This ensures compliance with contract requirements and provides an incentive for contractors to complete the project satisfactorily.

7. Collaboration and Communication:

Effective collaboration and communication are essential in quantity surveying for interim valuations. Quantity surveyors work closely with various stakeholders, including contractors, clients, architects, and suppliers, to gather accurate information and resolve any discrepancies. Clear communication helps in addressing queries, resolving disputes, and ensuring smooth progress of the valuation process.

8. Cost Reporting:

Quantity surveyors prepare detailed cost reports as part of interim valuations. These reports provide a breakdown of costs, including labor, materials, variations, and any additional expenses incurred during the valuation period. Clear and concise reporting enables clients and project teams to understand the financial status of the project accurately.

Conclusion

Quantity surveying is a fundamental aspect of managing construction projects, with interim valuations being an integral part of the process. By understanding the key elements discussed in this article, beginners can develop a strong foundation in quantity surveying and effectively contribute to successful project outcomes. From accurate measurement and progress monitoring to valuing variations and materials on site, each element plays a crucial role in ensuring fair and transparent interim valuations.

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