Question

What is the difference between Tender Price Index and Location Index?

If I have a project in Sembawang (location index = 100), today’s tender price index is 130.

Do I use Tender Price Index or Location Index to calculate the building and M&E cost?

Answer 1

The Tender Price Index of Public Sector Building Non Housing (PUBSEC) measures the

movement of prices in tenders for building contracts in the public sector in Great Britain. It does not include contracts for housing, civil engineering, mechanical engineering, electrical engineering, minor alterations projects or for repair and maintenance work.

The Tender Price Index of Public Sector Building Non-Housing is one of the Tender Price Indices. It is frequently referred to as PUBSEC. The PUBSEC index and associated location and function adjustment factors are produced by the Building Cost Information Service (BCIS) on behalf of the Department of Business, Innovation and Skills (BIS).

Many archives do not include the storage location of materials in finding aids used by the general public. Restricting this information adds one more layer of security. When a patron requests materials, reference staff use a location index to determine where the material is stored so that it can be pulled.

Building cost is how much it physically costs to do the work and Tender Price is how much someone offers to do the work for.

Tender-building = contractors profit