Cool Thoughts

Cold Storage Construction Cost Per Square Foot

Posted by Joshua Everage on Apr 4, 2017 10:00:00 AM
cold storage construction cost, cold storage construction cost per square foot

 

In any business it is essential to balance the books. If you are thinking of investing in cold storage, it is important to find out all that you can about cold storage warehouse construction costs.

There are a number of factors that influence these costs, including the required cooling equipment, the height of the warehouse and its location. Here we take a look at the costs involved in building a cold storage facility.

 First of all the exact function of the warehouse can have a major effect. If you need a high-powered blast freezer to flash freeze seafood, it will cost more than a chiller due to the extra equipment that is needed. In general terms the more cooling power that you need, the more expensive the cold storage construction cost.

A controlled atmosphere and dock-height floors will also add to costs, as will any underfloor heating. The exterior walls, interior finish, and lighting and plumbing will also need to be taken into consideration.

For many cold storage clients, cubic feet is a more important measurement of size than square feet. This encourages the building of taller warehouses, which in turn incurs extra costs due to the extra materials and structural challenges involved in construction. The average ceiling height for cold storage facilities is 36-40 feet, compared to an average of 22 feet for warehouses built 20 years ago.

Another consideration is location. Cold storage warehouse construction cost can vary widely from region to region within the United States. For example, construction costs in the non-unionized Southeast US will be significantly lower than those on the West Coast.

While these variables will affect the overall cost of a cold storage warehouse, we know that cold storage cost per square foot is higher on average than standard warehousing. According to investment management firm JLL, “cold storage construction cost averages $150-170 per square foot, compared to $50-65 per square foot for dry warehousing space.”

It is important to note, per JLL, these price points are national averages for turn-key projects inclusive of trade labor, architectural design, electrical, plumbing, refrigeration, installations, and more.

The majority of cold storage warehouses are new builds, but it is also possible to expand or upgrade existing warehouse space. JLL reports that “improvements to an existing cold storage facility can be made for $60-70 per square foot.” This is equivalent to approximately 40% of the cost of building a new facility from the ground up, a significant saving.

Whether you are looking to build or invest in cold storage capacity, the costs need not be a mystery. The highly-trained team at A-N-C Cold Storage Construction will be happy to answer any questions that you may have.

 

A-N-C Cold Storage Construction

 

To find out more about designing and building cold storage warehouses, click the image above to download your free cold storage design guide today.

 

Topics: Cold Storage Construction

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A-N-C Cold Storage Construction, Inc

P.O. Box 1078

Bloomington CA 92316

(909) 874-4963

info@anccold.com

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