*Phase 1. Investment costs appraisal*

The investment appraisal is divided into three parts, corresponding to different types of expenditure:


The required investment to recover and possibly redefine the property can be estimated by drawing up an economic framework, in accordance with the provisions of art. 16 of the D.P.R. 5 October 2010, n. 207, Regulation for the execution and implementation of the Code of public contracts, and € equivalent to the estimate of Production Cost [33,34].

As already mentioned above, economic and financial plan prevailing approach draws the methodological bases from the disciplines dealing with the companies' economic dynamics.

However, if we take into consideration, for example, the authoritative guide published by the UVAL, number 30/2014 of its own series [Materials] [35], such approach leads to some uncertainty: It is enough to note, only to highlight an aspect between the many, how the costs for labor are treated in the estimate of the investment costs of table III.5, page 23 of the guide, shown below, in clear contrast to all the coded methods of calculating costs in the building process (Table 7).


**Table 7.** Investment costs according to UVAL.

Source: UVAL/DPS–IRPET application.

The cost of works evaluation, or construction cost, will take place through synthetic-comparative procedures, since it is developed within a preliminary phase of design choices definition, through the use of parametric, or mixed, appraisals for functional elements or significant samples.

It is also possible to identify the various items of the works, possibly subdivided by macro-category of works (consolidations, masonry works, installations, external arrangements, parking lots, etc.).

It is clear that, in this case, since these are public owned properties, the costs for their acquisition are zero. However, if the administration intends to use a property potentially important for the community, such as a building of historical value, but still privately owned, the acquisition-related costs should be assessed since the beginning, according to the provisions of the Consolidation Act on expropriations for public utility [36].

As regards the need to make the buildings usable, it will be required to estimate the furnishings and equipment, hardware and software costs, with the related value-added tax, if not recoverable by the investor. Similarly, depending on the function, the communication and marketing initial investments have to be estimated.

This phase ends with the formulation the investment capital composition, subdividing it into a share of the private investor's own capital, the share of debt capital and any share of public co-financing, in the form of capital grants.

### *Phase 2. Revenues appraisal*

The revenue assessment phase is divided into sub-categories:


Clearly, revenues generated by projects depends on the demand, which in turn depends on a series of factors [37], such as:

