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Two story extension between existing walls

Hello,

I live in a typical Edwardian terrace property where gaps exists between the rear part of house and similar section of the neighbour's wall - it is about 4.5m wide by 2.8m - roughly 12.5 m2.

Ideally we would like a two story extension that will end flush with the existing rear wall of the property, but if that requires lots of structural work - we would probably opt for just a single story. I am not quite sure how much difference it will make to the cost of having existing walls on all three sides. Any thoughts?
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