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Commercial building cost per square foot calculator

Work out what a commercial building will cost from the square footage and the rates you set. A single price per square foot is misleading, because it usually covers the core and shell, the structure, envelope, roof, and base systems, and not the interior fit-out that makes the space usable. Site work, design and permit fees, and a contingency sit on top of both. The calculator keeps them apart so the all-in number per foot is honest.

§ 01 Your numbers

Change anything. The answer updates as you type.

The gross floor area you are building. A small retail or office building is a few thousand square feet; a warehouse or a multi-tenant building runs much larger.
Structure, envelope, roof, and base building systems, ready for a tenant to fit out. A simple pre-engineered warehouse shell sits at the low end per foot; a steel-frame office or a medical building with heavier systems sits well above it.
Interior partitions, ceilings, flooring, finishes, and the branch electrical, plumbing, and mechanical work that serve the space. Warehouse fit-out is light; restaurant, lab, and medical fit-out is far heavier. Set to zero if you are building shell only.
Clearing, grading, the parking lot, drainage, landscaping, and running water, sewer, gas, and power to the building. A raw or sloped parcel far from utilities costs much more than an infill pad.
Architecture and engineering, permits and impact fees, surveys, testing, and project management. These are charged on top of the construction work, commonly in the low double digits as a share of it.
Money held back for the unknowns a commercial build reliably turns up: rock, poor soil, a code interpretation, a long-lead switchgear order. Carry more on a renovation or an unsurveyed site.
Estimated cost
$2,612,736

Typical range $2,090,189$3,657,830

  • Core & shell (area × rate)$1,500,000
  • Interior fit-out (area × rate)$600,000
  • Site work & utilities$60,000
  • Soft costs (design, permits, fees)$259,200
  • Contingency$193,536
  • Total$2,612,736
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$500,000 to $3 million covers a typical retail, office, or light industrial building with fit-out, site work, and soft costs carried. Get itemised bids by division.

What this assumes, and where it could be wrong

Every one of these is a place the number could be off. They are here because you should be able to check our working, not because we are hedging.

A SINGLE PRICE PER FOOT USUALLY MEANS SHELL ONLY.
When a builder or a broker quotes commercial construction at one number per square foot, that number generally covers the core and shell: the structure, the envelope, the roof, and the base building systems, delivered ready for a tenant to fit out. The interior work that makes the space usable is bid separately, often against a tenant improvement allowance. Lumping the two into one per-foot figure is where budgets break, so this calculator keeps them apart and lets a shell-only comparison stay honest by setting the fit-out rate to zero.

Building type moves the rate further than square footage does. Two buildings of the same area can be priced very differently: a pre-engineered warehouse shell is light on structure and systems, while a medical, lab, or restaurant space carries heavy mechanical, electrical, and plumbing loads and a stricter code path. That is why both rates are yours to set, because the same area can sit at either end of the range depending on what the building has to do.

Site work is a separate project sitting under the building. Grading, drainage, the parking lot, and bringing water, sewer, gas, and power to the pad are priced off the parcel, not the floor area, so they do not scale with the building the way the shell does. An infill lot with utilities at the curb is inexpensive here; a raw parcel that needs a lift station, a long service run, or extensive earthwork can add a large share of the build.

Soft costs and contingency are real money, not padding. Architecture and engineering, permits and impact fees, surveys, testing, and project management are charged on top of the construction, and a commercial build reliably turns up something the drawings did not show. Carrying a contingency is how the project absorbs that without a change order fight, and a budget presented without one is a budget that has not been finished.

The defaults are ours and are a starting point. The area, the shell rate, and the fit-out rate are yours, and the estimate turns most on the building type, the local labour market, and how much interior work is in your scope rather than the tenant's.

Frequently asked questions

How much does it cost per square foot to build a commercial building?
It is quoted by the square foot, but a single number is misleading because it generally covers the core and shell only: the structure, the envelope, the roof, and the base systems. The interior fit-out is bid separately, and site work, design and permit fees, and a contingency sit on top of both. A light warehouse shell and a medical or restaurant build are different products at very different rates per foot. The calculator above splits them so the all-in number is honest.
What is the difference between core and shell and fit-out?
Core and shell is the building itself: foundation, frame, exterior walls, roof, and the base mechanical, electrical, and plumbing distribution, plus common areas like lobbies and restrooms. Fit-out, also called tenant improvement, is everything that turns the empty shell into usable space: partitions, ceilings, flooring, finishes, and the branch systems serving them. They are priced and often contracted separately, which is why a shell price and an occupied-building price are not comparable.
Why is my commercial construction quote higher than the rate I read online?
Published per-foot rates are usually shell-only, for a simple building type, on a prepared site, with soft costs excluded. Your quote climbs once you add the fit-out, the site work and utilities, the architecture and permit fees, and a contingency, and it climbs further if the building type carries heavy systems or your jurisdiction enforces a strict code path. Set each of those in the calculator and the all-in figure lands well above the headline rate, which is normal.
What percentage of a commercial build is soft costs?
Soft costs, meaning design, engineering, permits, impact fees, surveys, testing, and project management, commonly land in the low double digits as a share of construction, though the range is wide. A straightforward warehouse in a permissive jurisdiction sits at the low end; a complex building with a long entitlement process, impact fees, and heavy engineering sits well above it. The calculator takes your percentage rather than assuming one, because the figure turns on your jurisdiction more than on your building.

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