Construction costs are determined based on a variety of specifications, starting with the type of building to determine the style of construction (e.g. residence, factory, office building, etc.) Each category of building has its own regulations and base requirements.
The quality tier of the build is then selected, including factors such as material, interior structure, and specifications (e.g. number of fireplaces for residency). The cost is then estimated on an area basis (cost per square feet), given ranges of total size classification.
Keep in mind that with more complicated structures, more variables come into play (e.g. parking requirements for commercial properties). Additionally, construction costs tend to not include the land cost, various allowances (e.g. legal fees, sewer levies, soil tests), and HST.
Construction tends to be a complicated process, and it is highly suggested to work with qualified professionals to avoid pitfalls and surprises.