Look like I need to put into a simple and direct facts:
1. Yes, the construction cost is RM400,000/unit or RM129/sqft (calculate based on built up of 3,100sqft). We categorised construction cost of RM129/sqft is upper-standard for terrace house. (anyhow, the best indication if we got the total built up)
2. One step ahead, which mostly people won't see this figures.
i) Consultant cost = 40 mil x 10% = 4Mil or RM40,000/unit
ii) Common infra cost, ie: park, hardscape, softscape, main water reticulation, sewerage, TNB, telekon, say: RM30,000/unit
iii) Land premium, say RM20/sqft = 3,100 x 20 = RM62,000.00
iv) Staff cost, promotion, SMS, marketing, etc, = say, RM2,000.00
TOTAL : RM534,000.00 /unit
3. To tender I&P job, you need to be competative. Procedure of tender for I&P:
i) Tenderers to submit the intial and only tender submisson
ii) There is no revision of tender
iii) Tender clarification/negotiation of tender price
iv) award of tender
As such, there is no way to pay under table to take the job.
4. The commodities, ie: steel, brickwork, wood, copper, OPC, etc main construction materials will increase from time to time. Especially wood as big amount is required in Japan. ie: copper can increase price of 100% last year.
5. Workers. Last time, a skilled bricklayer is RM80/day, now is RM100/day. Due to inflation + shortage of workers, the cost will getting higher and higher.
6. In my opinion, I will foresee an appreciation of min 20% two years from now.