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Childcare DA Cost Control NSW | CIV vs EDC Explained

  • ARMADA ARCHITECTS
  • Feb 19
  • 2 min read

Updated: 3 days ago


Cost control is a critical factor in every Childcare Centre Development Application (DA) in NSW. With the shift from Capital Investment Value (CIV) to Estimated Development Cost (EDC) under the Environmental Planning and Assessment Regulation, cost reporting requirements have become more structured, regulated and consequential.


For childcare developers across Sydney, EDC directly influences:

  • Whether a proposal is determined by Council or the Regional Planning Panel

  • Development contribution calculations

  • Planning pathway complexity

  • Funding feasibility and lender confidence

  • Overall project viability

Inaccurate cost forecasting can shift the consent authority or undermine feasibility modelling.


What Changed from CIV to EDC in NSW?


Historically, Development Applications referenced Capital Investment Value (CIV) — often a high-level estimate of construction cost.


The transition to Estimated Development Cost (EDC) (progressively implemented from 2022 and embedded through 2023–24 Planning Portal processes) requires:

  • Itemised construction costs

  • Demolition and site works

  • Services and infrastructure

  • Professional fees

  • GST (where applicable)

  • Defined calculation methodology


For childcare centres, this has materially changed how projects are documented and submitted.


EDC is no longer a placeholder number. It must be defensible.


Why Cost Control Is Critical for Childcare Centres


Childcare projects are particularly sensitive to cost movement due to:

  • Yield efficiency (places vs built form)

  • Fire engineering and performance solutions

  • Acoustic compliance

  • Car parking and traffic design

  • Civil works and stormwater management


Without structured design management, costs escalate during planning refinement.


Practical Example: Gorokan Childcare Centre (102 Places)


On the Gorokan approval, early feasibility identified excavation and structural risk. Armada Architects managed cost by:

  • Optimising footprint efficiency

  • Rationalising structural spans

  • Simplifying façade articulation

  • Integrating consultant input early

  • Undertaking staged cost benchmarking


The result: an approval-ready scheme with an aligned and supportable EDC.


Practical Example: Serpentine Road, Terrigal (Regional Planning Panel)

The Serpentine Road childcare centre required determination via the Regional Planning Panel. Cost sensitivity was critical.


Cost was controlled by:

  • Resolving planning and traffic risks before detailed documentation

  • Managing fire engineering solutions efficiently

  • Avoiding over-specification beyond operator requirements

  • Coordinating consultant scopes to prevent redesign


Active contractor and cost consultant feedback ensured the EDC remained realistic.



Six Key Cost Control Principles for Childcare Development Applications

  1. Establish realistic EDC benchmarks using comparable NSW approvals.

  2. Integrate quantity surveying during concept design.

  3. Resolve planning risks early to avoid redesign.

  4. Design efficiently to maximise yield and buildability.

  5. Coordinate consultant input to prevent duplication.

  6. Maintain ongoing market testing with builders.


Why Experience Matters in Childcare Cost Management


Since 2013, Armada Architects has specialised in childcare centre design and approvals in NSW, leading multidisciplinary consultant teams through feasibility, DA, and construction documentation.


Established consultant and contractor relationships allow:

  • Real-time cost feedback

  • Market-aligned specification decisions

  • Buildability validation during design

  • Reduced redesign risk post-approval


Cost certainty in childcare projects is not accidental. It is the outcome of structured methodology, disciplined documentation and experienced design management.


More EDC information on the NSW Government Website:


 
 
 

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