Pilot-assisted channel estimation for communication systems employing orthogonal frequency division multiplexing modulation requires significant signal processing at the receiver if the correlation among the frequency-domain channel coefficients is to be exploited in order to improve accuracy. In this work, a conventional FFT processor is extended to support all operations required by a selected channel estimation algorithm, so that both OFDM de/modulation and channel estimation can be efficiently performed on the same hardware unit. The silicon complexity of the extended processor, which was prototyped in a real-time testbed using FPGAs, is compared to a conventional FFT processor.