What is a Pre-Tender Cost Estimate?

A Pre-Tender Cost Estimate is a detailed financial assessment prepared just before a project is issued for tender.

It represents the client’s best understanding of the expected construction cost once design documentation is nearly complete, typically 80–100% design detail. The goal is to verify that the project can be delivered within budget before going out to market.

Where a Feasibility Cost Estimate provides an early high-level view, a Pre-Tender Estimate (PTE) is far more precise. It itemises quantities, materials, labour, preliminaries, and contingencies based on the final design and specifications.

In short, a Pre-Tender Cost Estimate:

• Acts as a benchmark to assess incoming contractor bids.
• Helps identify scope gaps or cost overruns before tender release.
• Provides assurance to clients, financiers, or committees that the design remains financially viable.

It’s the last checkpoint before the project moves into procurement—bridging the gap between design intent and real-world cost certainty.