Michael ThomasSindhuri Vemula

Mohammaderfan ZandiehMassinissa Mekerri

Irma Luque

North East Plaza

Agenda

Objective Scope Amenities Organizational Structure Layout Plan Work Breakdown Structure Work Scheduling Gantt Chart Cost Estimation Cost Benefit Analysis Return on Investment Risk Management Marketing References Summary

Objective

We are assigned to oversee and manage the construction of an Outlet Mall in Eastchester, NY.

It consists mainly of outlet stores and a food court.

The outlet mall comes with lavish parking surrounding it.

ScopeSpecifications for Mall:

135,000 square feet Budget:

Land, Excavation, and Landscaping: $26,000,000 Infrastructure: 48,250,000

Time Required 364 days Capacity:

62 stores8 food unitsATM, restrooms, office space

Specs for Parking Lot: 150,000 square feet 1200 spaces Budget: $29,000,000

Total Cost for Mall, Land, and Parking Lot: $103,250,000

Advantages and Disadvantages The mall’s location is in the center of four populated towns in New York, which means a lot of customers will be visiting the mall.

Mall Location

White plains

Yonkers

Mt Vernon

New Rochelle

Since it is a populated area, there is a lot of competition as well as local businesses.

Main Disadvantage

Yonkers White PlainsNew

RochelleMount Vernon

Agree 136,856 39,850 60,000 35,000Disagree 40,000 15,000 12,000 20,000

Have no idea 23,144 5,150 8,000 15,000

Total population 200,000 60,000 80,000 70,000

Yonkers White Plains

New Rochelle

Mount Vernon

0

50000

100000

150000

200000

250000

Series1

Agree

Disagree

Have no idea

Total population

Survey

"Populated area with a lot of middle class families” & “Easy transportation to the mall with metro north”. We can guarantee the customer resource.

Main Focus

AmenitiesFood Court

Restrooms

Management Office

Video Wall

Atm

Parking Lot

Organizational Chart

Keith HanksProject Manager

Daniel JonsonFinancial Analyst

Christian Baczynski

Financial Engineer

Gerard PatelRelations Manager

Giselle Martinez

Construction Manager

Liza RobertsCivil Engineer

Layout

Mall Map

Parking Lot Layout

Work Breakdown StructureConstruction

Pre Phase

Designing

Mall Design

Approve Plan

Recommendation

Planning and Permission

Look for construction

company

Select Company

Permission to buy

Permission to build

Interviews

Hire Employees

Construction Phase

External Construction

Buy Materials

Demolition

Internal Construction

Excavation

Steel Erection

Walls, ceiling and windows

Services

Plumbing

Electrical wiring

Finishing

Painting

Parking lot

Cleaning & Accessibility

Schedule & Estimated Time

15% Contingency

COST DISTRIBUTIONLand

Internal Construction

External Construction

Materials Used

Labor

Maintenance

Plan

COST BENEFIT REPRESENTATIONBenefits Year 1 Year 2 Year 3 Year 4

Advertisements

$ 1,500,000 $ 1,750,000 $ 2,000,000 $ 2,250,000

Lease $ 45,000,000

$ 52,000,000

$ 58,500,000

$ 64,250,000

Food $ 2,000,000 $ 2,150,000 $ 2,250,000 $ 2,680,000

Parking

Total Benefits $ 48,500,000

$ 55,900,000

$ 62,750,000

$ 69,180,000

REPRESENTATION

Year 0 Year 1 Year 2 Year 3 Year 40

20,000,000

40,000,000

60,000,000

80,000,000

100,000,000

120,000,000

Total Cost(in $)Benefits(in $)

COST BENEFIT ANALYSISProcess for calculating and comparing costs and

benefits of a project. Has two purposes:

To determine if it is sound investment.

It involves comparing the total expected cost against the total expected benefits.

Total Cost: $103,250,000

Total Benefits: Year 1: $ 48,500,000

Year 2: $ 55,900,000

Year 3: $ 62,750,000

Year 4: $ 69,180,000

RETURN ON INVESTMENT

The formula is given by:

It is a very simple and popular method.

If the investment does not have a positive ROI then the investment should not be undertaken.

RETURN ON INVESTMENT

Total Investment: $ 103,250,000

Gain from Investment: $ 137,330,000

(for four years)

137,330,000 – 103,250,000

ROI =

103,250,000

ROI = 33%

Type Risk Plan

Environmental Weather changes

Add contingency days

Legal People not licensed using dangerous machinery

Hire certified people and make the rest sign a document for safety

Financial Increased in the estimated cost(building material, more days than expected)

Make sure there is an escalation clause in the contractor’s agreement

Risk Management

Marketing• Flyers around the city.

• Local radio and magazines.

• Rent human billboards in target cities (Yonkers, White Plains, New Rochelle, Mount Vernon)

• Sponsor the charity for children’s hospital in Yonkers.(85% of American say they have a more positive image of a product or company when it supports a cause they care about)

• We get our Logo and AD message printed at the train station.

• Advertise on the side of the trucks.

• We post a QR code AD linked to our website in a high traffic area.

References• www.en.wikipedia.org

• www.bizjournals.com

• www.slideshare.net

• www.google.com

QUESTIONS?