The National Institute of Standards and Technology (NIST) developed the Building Life-Cycle Cost (BLCC) Program to provide computational support for the analysis of capital investments in buildings.
The software can evaluate federal, state, and local government projects for both new and existing buildings. While BLCC is oriented toward building-related decisions, it can be used to evaluate alternative designs for almost any project type in which higher capital investment costs lower future operating-related costs.
BLCC conducts economic analyses by evaluating the relative cost effectiveness of alternative buildings and building-related systems or components. Typically, BLCC is used to evaluate alternative designs that have higher initial costs but lower operating costs over the project life than the lowest-initial-cost design. It is especially useful for evaluating the costs and benefits of energy and water conservation and renewable energy projects. The life-cycle cost (LCC) of two or more alternative designs are computed and compared to determine which has the lowest LCC and is therefore more economical in the long run. BLCC also calculates comparative economic measures for alternative designs, including net savings, savings-to-investment ratio, adjusted internal rate of return, and years to payback.