At Marine Facilities Australia, we believe that a successful project begins with a feasibility study. These studies are a low-cost, high-value way to reduce risk and provide clarity before committing to a development.
What is a Feasibility Study?
A feasibility study is a preliminary assessment of the likelihood of a project meeting our client’s objectives.
To achieve this, we create a report that documents our clients’ aims, provides an initial design that achieves those aims, then tests the initial design against the key constraints of planning, structure, budget and leasing.
Finally, the feasibility study maps a pathway to the achievement of our clients’ goals.
This ensures the project begins with realistic expectations and a clear path forward.
What to expect in a Feasibility Study?
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Defining the Brief
We start by sitting down with our clients to understand what they want to achieve with their project. Sometimes the vision is highly specific; other times it is broader, with some uncertainty around the outcome. As consultants, our job is to interpret these objectives and establish a clear project aim.
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Establishing Key Assumptions
Feasibility studies rely on a series of assumptions — such as indicative construction costs, approval timeframes, and projected usage or demand. We make these assumptions explicit at the outset so clients know what the study is based on and how changes to these factors could affect the outcome.
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Identifying Constraints
Every project has constraints — planning, environmental, structural, financial, leasing and more. We map these out early, referencing requirements set by governing agencies alongside project-specific considerations.
Within this step, we identify approval processes, communication strategies and other recommendations to manage our clients’ expectations.
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Preliminary Design Sketch
Our team develops an initial design for the proposed project that meets our clients’ objectives. This is not a final design but a tool to test the project against compliance, leasing, budget and revenue requirements.
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Compliance Assessment
We use a straightforward yes/no/maybe system to assess each factor influencing project approval. Where challenges exist, we outline what would be required to achieve approval. This gives clients a transparent view of potential delays or hurdles.
For larger scale or complex projects, we may outsource this aspect of the feasibility study.
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Cost and Revenue Analysis
A potential cost breakdown is provided. It covers an estimate of construction and incidental costs such as authorities and consultants to define an initial project budget.
For commercial projects, we can go one step further by identifying potential revenue streams, rental forecasts and long-term financial outcomes.
For larger scale or complex projects we may outsource this aspect of the feasibility study.
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Leasing and Licensing
Waterfront projects often involve leasing and or licensing of the land and water space on which a potential development will be located.
In this scenario we will provide an analysis of the proposed project against the landowners polices such that the constraints and costs associated with those policies can be identified.
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Feasibility Rating
Based on these assessments, we assign the project a feasibility rating — low, medium, or high risk of meeting our clients’ objectives.
The Outcome
At the end of a feasibility study, our clients receive a clear and realistic understanding of their project.
From there, clients can decide whether to move forward with confidence, adjust their approach, or, on rare occasions, abandon the project.
If the study shows a project is not viable, we’ve fulfilled our role in protecting our client’s interests. If it is feasible, the client has a clear foundation for moving the project forward.
With decades of experience in marine consultancy, MFA combines design thinking and problem solving with regulatory expertise to guide clients through the early stages of development. Our feasibility studies save time, reduce risk, and give projects the best possible chance of long-term success.
Planning a waterfront development project? Contact us today to start a feasibility study before you break ground.
