Designing your commercial space is an interesting task that includes curating Pinterest boards filled with ideas and binge-watching interior design shows to select the best options. Everything seems smooth until the reality of renovation costs hits; you definitely do not want it to be a surprise! Well, understanding the average cost per square foot of commercial renovations and learning about the various factors influencing the final price is the best method to move forward in this project.
Average Cost of Commercial Renovations per sq. Ft.
It is a known fact that the cost of commercial renovations is not consistent for every project, as various factors contribute to the final amount. The average cost of renovating a commercial building ranges from $30 per sq. ft. to over $300 per sq. ft.
To project a more accurate cost, consider consulting with a design-build construction firm to provide you with an estimate based on various factors.
5+ Factors That Affect the Total Renovation Cost Of a Commercial Building
Commercial renovation projects come in all shapes and sizes, including amping up a commercial bathroom or a complete building revamp. Here is a list of some common factors that affect the average value of your project.
1. Materials and Labor
With ongoing inflation, the rates of materials and labor are constantly on the move. The quotation you got six months ago may have gone up when your project finally rolls. To ensure the best outcome for your commercial construction project, invest in high-quality contractors and materials. Although you may fall into the pit to cut costs with cheap materials and an inexperienced contractor, remember that quality ensures longevity.
2. Building Use
The goal of your building significantly affects its renovation costs. The main reason behind it is the need for specialized equipment, fixtures, and more. For instance, medical buildings, government offices, and high-rise offices usually cost more to renovate than small restaurants, single-story office spaces, etc. On the other hand, you would need a significant chunk of money if there is a conversion of intent going on, for example, a warehouse turning into a medical setup.
3. The Location of Your Building
Renovating a commercial space in urban areas is bound to be pricier than in rural areas. Location-specific factors drive up costs, like its proximity to coasts, climate, and the presence of other thriving businesses.
4. Adding Building Amenities
Renovations are an opportunity for business owners to enhance their buildings/offices. Adding a kitchen to your office space, extra bathrooms, a gym, or showers increases the amount of your project. These amenities improve your space but also increase your final cost.
5. Updated Electrical Systems
A commercial renovation has more aspects to it than appearance; it is about improving comfort and efficiency. In addition to new flooring, walls, and furniture, consider replacing systems like air conditioning, heating, and plumbing fixtures. While the cost of HVAC installation would not take a huge toll, it does move around $3 per square foot.
6. Building Permit Fees
You must remember to keep a tab open for permit fees in your renovation costs. This typically depends on your project’s location and the type of work being done. While permit fees might not be a major expense, they can add up, particularly on larger projects in major cities.
Understanding these factors will help you curate the right estimate and plan for your commercial renovation costs effectively. Now that you know where to start, give us a call for your commercial construction project. Talk to professionals at Advance Construction and Development by dialing (936) 521-2446 to get answers to all your queries. Or, you can drop by our office in Texas for assistance.