Life Cycle Cost Analysis

Assessing the total cost of facility or system component ownership over its lifespan.

Life Cycle Cost Analysis (LCCA) is an important economic analysis used in the selection of alternatives that impact both initial and future costs. It compares initial investment options and identifies the least cost alternatives for various performance periods.

K2M utilizes existing utility data and software-based analysis to benchmark baseline energy usage. This baseline is utilized to evaluate the energy savings potential of various Building HVAC, Lighting and Envelope Alternatives as well as variations in building orientation and geometry.

Our Life Cycle Cost Analysis incorporates the following parameters:

  • Lifecycle cost time period
  • Inflation rate of labor
  • Inflation rate of materials
  • Inflation rate of utility costs
  • Interest rate of finance
  • General Conditions
  • Design Fees
  • Contingency
  • Escalation (as applicable)
  • Residual Worth where an alternative has service life beyond the analysis period
  • Maintenance Cost

Our Clients Say…

"It is a pleasure to work with the K2M Team. The team held to their project timeline, met with the county Superintendents to complete a thorough overview of our structures and land, met with elected officials and department heads to consider our thoughts, concerns and ideas, and delivered options that we are very pleased with!"

Allen County Ohio Board of Commissioners (Jay Begg, Cory Noonan, Greg Sneary)

K2M on GSA Schedule

K2M Design is a GSA Schedule Contract Holder on the Federal Supply Schedule for Facilities Maintenance and Management (03FAC) Solutions for Real Property.