A complete guide to feasibility studies in construction

Article contents

Key drivers:

• A feasibility study assesses whether a construction project is technically achievable, financially viable, environmentally responsible, and legally compliant before major investment begins.
• It helps reduce risk by identifying potential obstacles early - from site conditions and planning constraints to budget and timeline pressures.
• A thorough study combines technical, financial, sustainability, and regulatory analysis, bringing together engineers, architects, cost consultants, and planners.
• RED delivers data-driven, multi-disciplinary feasibility studies that give clients clear, evidence-based insight to support confident go/no-go decisions.

Every major construction project begins with a question: Should we proceed?

It sounds straightforward, but the answer rarely is. A site might look promising on paper, but subsurface conditions could make it unworkable. Budgets can unravel once regulatory demands or infrastructure upgrades are factored in. Even the most carefully planned timelines can slip when utilities or permits introduce unexpected delays.

Without clear, evidence-based answers to these questions, even the most ambitious project can fail before a single foundation is poured. That's where the feasibility study comes in.

A feasibility study is the process that separates assumption from reality. It tests whether a project is technically achievable, financially sound, environmentally responsible, and legally compliant. It gives clients, investors, and project teams the confidence to commit - or the clarity to walk away before resources are wasted.

At RED Engineering, feasibility studies are embedded into our early-stage project delivery process. We bring together technical expertise, sustainability analysis, and commercial insight to ensure that every project we support is built on solid ground - not just literally, but strategically.

What is a feasibility study in construction?

What is a feasibility study? At its core, it’s a structured assessment designed to establish whether a project can, and should, proceed. It evaluates the technical, financial, environmental, legal, and operational factors that determine project viability before major investment or detailed design begins.

Feasibility studies sit at the very beginning of the project lifecycle, typically during the strategic definition or preparation and brief stages. They provide the evidence base that informs go/no-go decisions, helps shape project scope, and sets realistic expectations around cost, programme, and risk.

The study might assess a single site or compare multiple options. It might evaluate a new build, a refurbishment, or a change of use. In every case, the goal is the same: to reduce uncertainty and support better decision-making.

For RED, feasibility studies are where engineering expertise meets strategic advisory. We use data-driven analysis, multi-disciplinary input, and real-world experience to provide clients with a clear, honest picture of what's achievable - and what's not.

What is the purpose of a feasibility study?

The primary purpose of a feasibility study is to determine whether a project is truly viable before major resources are committed. But why is a feasibility study important?  Because its value extends far beyond a simple yes or no.

1. Risk reduction
   Feasibility studies uncover potential obstacles early - be it challenging ground conditions, limited power capacity, planning restrictions, or capital cost pressures. Identifying these issues upfront allows clients to address them, adjust designs, or reconsider a project before costly delays occur.
2. Evidence-based investment
   Clients and investors need certainty that a project will deliver operational, financial, or strategic outcomes. A thorough feasibility study provides the data and analysis required to support investment approvals, funding decisions, and stakeholder confidence.
3. Scope and brief validation
   Feasibility studies test whether project ambitions are realistic within the limits of budget, site, and programme. They help refine the brief, ensuring it’s achievable and aligned with wider business objectives.
4. Regulatory and sustainability compliance
   Early assessment of planning requirements, environmental constraints, and sustainability obligations ensures compliance is built into the project from the start, reducing the risk of costly retrofits or delays.

What does a feasibility study include?

A comprehensive feasibility study assesses all aspects of a project’s viability. The exact focus will depend on the scale and complexity of the project, but most studies address the following core areas:

• Technical feasibility - Assesses site conditions, access, infrastructure, and design constraints to confirm that the project can be delivered safely and efficiently.
• Economic and financial feasibility - Analyse capital expenditure, lifecycle costs, and potential returns to establish a clear picture of financial viability.
• Environmental and sustainability feasibility - Evaluates energy performance, carbon impact, and environmental obligations to ensure the project meets sustainability objectives from the outset.
• Legal and regulatory feasibility - Reviews planning requirements, building regulations, and statutory duties to maintain full legal compliance.
• Programme and schedule feasibility - Tests timelines, phasing, and resource dependencies to verify that the proposed delivery programme is realistic and achievable.

Who conducts a feasibility study in construction projects?

Feasibility studies draw on expertise across multiple disciplines, reflecting the complexity of today’s construction projects. The team typically includes:

• Project managers - coordinating the study, managing timelines, and interpreting findings
• Engineers - assessing technical feasibility across MEP, structural, civil, and process disciplines
• Architects - evaluating spatial requirements, design constraints, and layout feasibility
• Cost consultants - providing capital and operational cost guidance
• Sustainability specialists - evaluating energy efficiency, carbon, and environmental impacts
• Legal and planning advisors - reviewing regulatory obligations and compliance pathways

On RED’s Margate Magistrates Court project, we carried out an initial feasibility study to assess replacement of the air-handling units serving the custody suite and three courtrooms. By bringing together project management, MEP services, and controls expertise, the study tested different options, confirmed the requirement for extra cooling capacity, highlighted necessary electrical upgrades, and outlined a revised controls strategy. 

It’s a clear example of how a well-structured feasibility study aligns the right specialists before detailed design begins.

How long does a feasibility study take?

The length of a feasibility study depends on the size and complexity of the project. Smaller developments may take just a few weeks, while larger or more complex projects, such as data centres, can take several months to assess design options, site conditions, and financial considerations.

So, how long does a feasibility study take in construction on average? Most are completed within 4 to 12 weeks - depending on the level of detail required and the availability of accurate baseline information.

At RED, we combine technical, financial, and regulatory insight to deliver feasibility studies that give clients a clear picture of what’s achievable. Our multi-disciplinary approach ensures decisions are grounded in evidence, while our support helps translate those decisions into practical, operational outcomes. The result is decision-grade evidence that reduces risk and gives you a clear path into design and procurement.

Planning a new construction project? Speak to RED to see how our feasibility studies can provide the insight you need to make confident investment decisions.