Construction Cost per Square Foot for Hotels, Motels and Apartments

Hospitality and multifamily design have many common factors and we have worked on many projects in both sectors. This post is specifically focused on the construction Cost per Square Foot for Hotels, Motels and Apartment Buildings across several regions in the United States.

So, how much does it cost to build a hotel, motel or apartment building by square foot? While this will depend heavily on the design of the building, and its location, there is some guidance based on data collected nationally and analyzed by RSMeans, the industry leader in construction cost estimating and analysis. Local economy is a very important factor in construction cost as well as the type of construction you intend to build. Note, that not all types of construction cost the same per square foot, and even more importantly, the cost of construction per square foot varies significantly with location.

Below are three different types of hospitality and multifamily construction and the varying cost per square foot to expect for each in different regions.  All graph images are courtesy of RSMeans Construction Cost Data. Data source: Reed Construction Data – RSMeans/Charts: Reed Construction Data – CanaData

Construction Cost per Square Foot of 2-3 Story Motel

As you can see from the range of cost per square foot, location alone can represent as much as 70% of the cost driver for a 2-3 Story Motel. The median for this type of construction is between $170 and $180 per square foot. Not surprisingly, New York tops the charts for most expensive city to build in at over $234 per square foot. Winston-Salem consistently ranks as the most inexpensive city to build in at $134 per square foot for motels.

Construction Cost per Square Foot for 4-7 Story Hotel

Building vertical always provides an economy of scale for larger structures, and that is noted with taller hotel construction. As these costs are spread out over greater square footage, we see a median cost in the mid $160 range with $217 on the high end and $124 on the low end.

Construction Cost per Square Foot 4-7 Story Apartment Building

At the lowest end of the cost spectrum is the 4-7 story apartment building. Similar to the Hotels, taking advantage of the vertical construction, apartment buildings also are not required to have the variety of functions that are necessary in a hotel. While amenities will be very specific to projects, on average, apartment buildings median cost are in the low $160’s per square foot with a range of $121 on the low end to $212 on the high end.

It is increasingly important to understand the cost drivers for any commercial project and how building type, construction type and location can all be huge variables that will drive your cost per square foot. These are always a part of the initial programming discussions and the Architect will play a huge role in helping to define the ranges of cost to expect for the project.

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68 thoughts on “Construction Cost per Square Foot for Hotels, Motels and Apartments”

  1. Dean Dalvit

    Chad,
    This data is not broken down in that way. However, RSmeans does have individual trade information by region and I highly recommend you go to their website. They do charge a fee for the information, but you can find detailed labor and material cost for just about every trade in the building industry. Best of luck with your project!

  2. Avatar

    Being asked to bid weather tight framing for a 4 story extended stay with 84 rooms. No restaurant, just common area with self serve wine bar. Pool room. Any idea of square foot price for framing, windows and TyVek?
    Also, trim package is being requested for the 84 rooms with small kitchens and some kitchenettes.
    I have some general ideas but do not want to leave any money on the table.

  3. Dean Dalvit

    Sadik,
    Thank you for your question. The RSMeans construction cost data that we have does not extend outside of the US, however we can help you. I will send you an email separately and we can discuss further.

  4. Avatar

    Dear Sir/Madam
    Let my message find you with joy and happiness with good wishes for the new year
    Your good name and address is known to me through web search for construction cos estimation for residential apartments
    As the business is growing in Ethiopia I am planning to start up a real estate business jointly with a foreign individual partner or with already established foreign real estate company in need of diversification of their existing business abroad
    I am an Ethiopian by Nationality a residing in the capital city Addis Ababa
    I need your assistance at this moment to provide me a preliminary project cost estimation for high rise 12 level apartment building having the following facility
    -General feature of the apartment
    -total plot area -500-700mt/sq
    -Approximate built up area- approximately 60percent
    -single level underground parking
    -Number of units /floor- 2 family unit with three bed rooms each
    -Top floor -penthouse for 2 families if possible
    -ground floor and first floor-Shopping area
    -Second floor- office facility for various purposes
    -Residential floor– Third floor —–Seventh floor residential
    -Service elevators -2 Lifts of capacity according to the standard/aprox 6-8 passengers/
    Please indicate all the necessary cost parameters and estimation to be considered in the design
    -Architecture
    -Electrical engineering
    -HAVC engineering
    -Sanitary engineering
    -site survey cost
    -Land purchase
    -Licensing
    -Consultancy
    -Permits and supervision
    -Submersible pump installation
    -Standby generator set with all control units
    Other necessary references required …….
    Thanking you in advance please send your reply ASAP
    SADIK ADEM
    From Ethiopia

  5. Dean Dalvit

    Dennis,
    I’m not sure where your project location is, but $200 a square foot is a very healthy budget and can typically get you a higher end product. That is of course if you’re not in a dense urban area where construction costs are naturally higher. To answer your questions though: foundation costs – included. excavation costs – included. FF&E costs – not included.

  6. Avatar
    Dennis Naughton

    Dear Dean,
    I am told to use $200.00 a square foot to estimate the cost to build a hotel, other than soft costs, does that include the excavation, foundation and FF&E? So 72,540 SF is $14,508,000.00 plus soft costs? Assume a mid-scale

  7. Dean Dalvit

    Marishia, Can you give me more information about your project? Is it a national hotel chain or boutique hotel? Level of service? Level of finish? Amenities you plan to provide? Any site information that may be relevant? We have an office in Texas and can greatly simplify your life by handling all of the Architectural Design and Engineering for the entire project with one seamless and coordinated team. Please let me know how we can help. Thanks!

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    I would like to know what if am gonna build new hotel with 50 rooms near Houston airport need an average cost for furnish room

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    Kevi Brennan

    I am interested in knowing more about construction costs for boutique hotels in Miami, Florida.

  10. Dean Dalvit

    Brenda,
    The RSMeans data presented here is not broken down by trade or discipline. RSMeans does have detailed data available at RSMeans.com that is the industry standard for contractor index pricing for individual trades and tasks. Additionally, I will have our Director of Mechanical Engineering touch base with you to see how we can help you with your project. Our Texas office just North of Austin and we would be happy to assist on any of the disciplines for your project. Thanks!

  11. Avatar

    Can you tell me what it would cost to plumb a new build, 3-story, 82 unit Hotel in Austin? That would include all material, permit fees, etc. I look forward to your response.
    Thank you,
    Brenda

  12. Dean Dalvit

    Lacy, are you asking about the cost per square foot to clean this facility? We can speak to construction costs, but any specific trade really needs to be estimated based on your direct costs. RSMeans does have cost information for individual trades, so you can see if you can find your specific need in their database, but it is based on averages and you should not rely on any index based information like this for your business. Best of luck.

  13. Avatar

    GOOD MORNING DEAN!!! MY COMPANY HAS BEEN ASKED TO SUBMIT A ROUGH AND A FINAL INTERIOR\EXTERIOR. CLEANING TURNKEY BID OF AN ASSISTED LIVING (under construction) COMPLEX IN HOUSTON,TX.. THE FACILITY IS 234,989 SQ.FT. , WHICH INCLUDES 1 & 2 BEDROOM APARTMENTS SOME WITH GARAGES AND ALSO WITH ACTIVITY CTR., AMENITY CTR., MAINT. RM., LAUNDRY RM. AND STORAGE CLOSETS. DO YOU KNOW WHAT THE AVERAGE PRICE PER SQ. FOOTAGE WOULD BE ON A PROJECT OF THIS MAGNITUDE? THANKS

  14. Dean Dalvit

    Sue,
    You should not put your or anyone else’s investment at such great risk as attempting a project of this magnitude without any experience. You would need to find an experienced development team that includes everyone from finance to Architects, Engineers, attorneys, contractors, marketing, sales, etc… We can help with Architecture and Engineering, however, who else do you have on your team? The questions you’re posing seem rather inexperienced. If you do not have an experienced development team, my advice to you is to invest in a REIT and leave it to the experts who do this every day. Best of luck!

  15. Dean Dalvit

    Rami,
    The finish cost may be in the ballpark of $40-$80 per sq.ft., however that will not include FF&E. RSMeans does not break out numbers for FF&E and only address the building construction costs. However, a furnishing consultant should easily be able to provide that for you based on your actual design and program for interiors. Best of luck with your project!

  16. Avatar

    Dear Dean,

    I’m really impressed with the accuracy of answers and preliminary guiding. I’m working on one floor of apprx 10,000 sqft in an existing building in Daytona Beach (converting it from office space to boutique hotel) .I will not touch now on the cost of the MEP as it is substantial, however I ask you kindly to guide me through the cost of finishing and FF&E per square foot .Initially the rooms are within the range of 300 square foot each and is intended to be classified as 2-3 stars select service hotel.. Many thanks
    Rami

  17. Dean Dalvit

    Hello Otsile,

    Thank you for your question! We have done a number of similar projects in Canada, only not specifically in Quebec. The multifamily work we have done is over in Saskatchewan, and we have also completed a number of multifamily projects in the US that are similar in nature to what you are describing.

    The building you are describing, if I understand correctly, is 6 units each floor for a total of 18 units. All units would be 2 bedrooms. Do you want an interior corridor to serve the units, or are all units accessed from the exterior? Is your parking all surface parking, or are you parking below the building? What other amenities would you be providing for the residents?

    The unit space would represent approximately 18,000-20,000 square feet, but those other elements would certainly have an impact to the size of the building and the cost of construction. With that, our experience in more urban areas for this project type fall between $170 and $210 USD per square foot. Again, though, we would need more information to arrive at the total square footage for the building in order to get a conceptual estimate for the project. Also, under-building parking does not carry the same cost per square foot as the finished space.

    EVstudio provides full scope architecture and engineering services and we would be happy to discuss this project with you further. Please let me know and we would be happy to help. Thanks!

  18. Avatar
    Otsile Mogale

    I want to build a 3 storey 18 2 bedroom units building, in Gatineau, quebec, Canada. Have you done any projects in Canada, Quebec. What is the contruction cost per square foot for my city Gatineau. I figure you may not have cost for Gatineau but we are only acroos the river from Ottawa.

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    hi dean i am a new developer who got the lucky break to fing her self a investor who is willing to lend me 50 million to built one of the most impresive hotels in the caribean that can rival the Atlantis resort in the bahamas,i have a lot of questions i hope you can help me with,first the hotel is going to be a 46-story , 2,455-rooms 514-foot resort and 4 acre lake,the hotel it self will cost 50 mill but if i change the 50 mill into the money of my country it will be 89 mill my question is what does other developers do when their project is finished and they have 30 mill over ? what do they do with the rest of the 30 mill ?do they built something els with it? or do they keep that 30 mill for them self? what are the rules for developers ?

  20. Dean Dalvit

    Thanks Kevin for your comment.
    Without much more programming that you’ve provided, I would offer the following: Without a unit mix, we would have to assume a mix of 1, 2 and 3 bedroom units, predominantly 2 bedroom units. The average unit size would then be approximately 1000 square feet. For 40 units in 6 stories, this would be 6-7 units per floor. You also stated a 10,000 sq.ft. lot, so somehow, we would need to address parking. A 7,000 sq.ft. footprint would not provide enough remaining space for on-site surface parking. A podium would require another floor and more interior circulation, which would have a significant impact on the cost, however is likely going to be required. So, you would then have 40,000 sq.ft. of apartment living space, 10,000 sq.ft. of interior circulation (corridors, elevator, stairs, etc.), and a 7,000 sq.ft. parkade under the building. Assuming you can meet your required parking counts on the one parkade level, your gross building square footage would be in the neighborhood of 57,000 sq.ft.. Again though, this is a rough estimate based on assumptions and could be higher or lower depending on programming and regulatory requirements. Using $180/sq.ft. for Philadelphia 4-7 story apartment buildings, you would wind up with a conceptual preliminary budget for the building construction cost of $10.2M. That would be exclusive of land costs, soft costs, finance costs, furnishings, or other site improvements or major infrastructure to service the lot.

    I hope that helps. Multifamily design is a specialty of EVstudio and we would be happy to discuss your project further. We can participate at every level from the initial concept, feasibility and entitlements, through architectural and engineering design of the project. Let me know if you would be interested in talking more about this project. Thanks again!
    -Dean

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    I just cannot believe the wealth of info you provide on this site. there is already a place in heaven for you. I own some land in philadelphia pa . roughly 10k sq ft. I want to build a senior multi unit building .between your numbers for floors 4-7 just would like to get some type of rough number not even ball park but some kind of reference number. Six flrs maybe 40 apts i’m talking mainly materials,.

    Thank you,I appreciate any feedback you can provide

  22. Avatar
    Thinn kyi sun

    Hi Dean
    I try to write this email. I need a help for my small hotel design. My land is front line 84 feet, back line 53 feet and side line 230 feet. I also want small swimming pool as open air in my hotel. My land located in ancient archeological zone in bagan, Myanmar. So, restricted all buildings height is 30 feet. My hotel design can be two story. And I want at least 30 guest rooms in my hotel. Can I get a plan design for my new small hotel? If you can help me, please send some advices to my email. Thank you.
    PS would you like to see bagan? Just type (Bagan Myanmar) in google browser.

  23. Dean Dalvit

    Thinn – thank you for inquiring. I believe we can help. I will have our Director of Architecture, Brad Bull, contact you separately by email. He has a vast background in hospitality projects and would be able to advise you on the next steps and how we can help.
    -Dean

  24. Avatar
    Thinn kyi sun

    Hi Dean
    I try to write this email. I need a help for my small hotel design. My land is front line 84 feet, back line 53 feet and side line 230 feet. I also want small swimming pool as open air in my hotel. My land located in ancient archeological zone in bagan, Myanmar. So, restricted all buildings height is 30 feet. My hotel design can be two story. And I want at least 30 guest rooms in my hotel. Can I get a plan design for my new small hotel? If you can help me, please send some advices to my email. Thank you.
    PS would you like to see bagan? Just type (Bagan Myanmar) in google browser.

  25. Dean Dalvit

    Hi Nancy,

    We would be happy to help. The costs will vary widely with the conditions of the existing building and the overall layout, square footage, etc.. This would be a change in occupancy with mixed use, so we would have to look at the project as if it’s a core and shell and start from there. In general, you can expect costs for a complete finish out of an existing building (no additional space) with all new systems and interiors to fall anywhere between $50 and $100 per square foot – heavily depending on the level of finish you are looking for. Based on your brief project description, I would envision this project as closer in finish to perhaps a Comfort Inn and less of a Ritz Carleton. So you would be on the lower end of that range. With that said, if there are items in the current nightclub that you would re-use (like bar or kitchen appliances and equipment that would stay in place), that would be of benefit. At the same time, however, if the building is over 25 years old, you will likely be replacing much of the HVAC, plumbing and electrical systems, adding fire protection systems, etc. and these can also have corollary site costs for utility service and such. All of those types of items would be outside of the interior finish out. Let us know if you would like us to contact you separately by email so we can follow up with more discussion about your project and what the next steps would look like to move forward. Thanks!

  26. Avatar

    Ooops I am so sorry, also I guess I should have mentioned the location.

    It is located in Logan, WV and the attraction here for the four wheelers is that Hatfield McCoy Trail system.

    Thanks again,
    Nancy

  27. Avatar

    Hi,

    I presently have a nightclub/restaurant, I have been in business for over 25 years. I am so tired of the nightclub business and it isn’t as profitable as in previous years. There are alot of four wheelers that come to our town from all over the country. With the economy being bad here, the four wheelers are one of the reasons that my business can remain open.
    I would like to remodel the building that I have and hopefully have 20 rooms and a small restaurant/lounge to accomodate the four wheelers. This way I would be offering something that noone else here offers at this time.
    Could you please help me with where to get started and maybe an estimated cost of each room is there is an existing building.
    Thank you so much,
    Nancy

  28. Avatar

    Planning on building an up scale hotel In Montego Bay Jamaica. we are just in the concept stage right now. We are looking at somewhere between 300/400 room the following are areas we are looking at having
    2. Wonderful rooms
    3. SPECTACULAR ROOM
    4. FABULOUS ROOM
    5. MEGA ROOM
    6. SPECTACULAR ROOM
    7. FABULOUS ROOM
    8. WOW SUITE
    9. EXTREME WOW SUITE
    10. FANTASTIC SUITE
    11. ONE-BEDROOM W FLATS
    12. TWO-BEDROOM W FLATS

    13. 4 Conference Room
    14. 1 State of the Art gym
    15A. Ball Room: 16,000 sf
    15B. Ball Room: Grand Ball Room: 20,000 sf
    16. Board room:1000 sf
    17. Break out Rooms 10
    18. Exhibit hall: 16,000 sf + 15ft ceiling
    19. 1 Gift Shop
    20. State of the Art Pool and Water Fall (Hot Tub)
    21. State of the Art kitchen
    22. Rotating State of the Art Night Club
    23. Business center
    24. Bath Rooms
    25. Spa
    26. Lounge
    27.5 Restaurant (Rotating)
    28. High Rise Garage.
    29.Roof top Pool & top Bar?
    30. Reception area 10,000sqft

    This is a project that we would like at least an initial phone conversation on to get some perspective on you guys part as move forward. Cost is something that would would like to have some idea on.

  29. Dean Dalvit

    Simz,

    Thanks for your inquiry. Unfortunately, we do not have data outside North America and RSMeans is specific to the United States. However, if you could draw any similarities to your economic region to one in the US, we could extrapolate that information for a very rough estimate. Otherwise, I would encourage you to reach out to a local general contractor to get initial conceptual pricing based on overall size and program. If you are in need of assistance with design or engineering, we do offer services internationally and would be happy to discuss your project further. Thanks again and good luck!

  30. Avatar

    Hi i was wondering if you could help me out. I would like a rough estimate of the actual cost of construction (thus being building material, workers etc excluding the plan of the hotel) the hotel would be in south africa in a farmland area close to the sea. Im looking at 3/4 stories and about 300 rooms. If you can kindly give me an estimate of the building cost. Maybe of another hotel that is similar to this. However do not include the cost of purchasing the land etc. Thanx

  31. Dean Dalvit

    Hi Philip, Thanks for reaching out! The kind of work that you are doing is very similar to the kind of restorative and rehabilitation work that we do a lot of in the US. Primarily in urban markets where the property value is high and the existing buildings are old and in need of major overhaul. Our experience with these projects is that nothing replaces the human element when it comes to evaluating existing physical properties. Only an on-site observation of architectural, structural, mechanical and electrical systems can tell the proper story and provide the clear understanding of what you are really dealing with in the physical plant. Documenting this information in a software database is necessary, however, and we have found that the first, most appropriate step in a building renovation, is a disciplined set of as-built drawings. So, we document all of the building information that we gather in a Revit BIM model that our team then uses as the base file for the renovation work. It is really the best, most comprehensive way to do it.

    We would be interested in discussing the projects that you are working on further. While EVstudio is a national design firm in the US, we have worked on a few projects internationally as well. If the project scope is appropriate, we could discuss how we might be able to work together. I will copy this reply to you by email and we can discuss further.

    Thanks and I’m looking forward to learning more about your projects.
    Sincerely,
    -Dean

  32. Avatar
    Philip Anandaraj

    Hello Dean,
    we are in the business of acquiring hotel, motel and restaurant properties that already exist and are ripe for a turnaround. Just wanted to know what would be the best evaluation software or manual for existing properties. The areas of interest are the material physical values and not revenue of operations.
    Our area of operations are South Asia [India, Sri Lanka] and Indian Ocean Countries [Mauritius].
    Would love to get in touch with you guys on a project by project basis that could be a business arrangement.
    Warmest Regards
    Philip

  33. Avatar

    Terry,

    Thanks for your inquiry. This project would be more akin in cost to a residential multifamily project like condos or triplexes. Three units vertical does not get you into trouble with fire safety or any of those similar codes, so there is considerable cost savings in going vertical up to this point. In your area, I would expect costs to range between $160 a square foot and $200 a square foot, depending on many factors, not the least of which would be the level of finish. I have seen highly appointed luxury residential projects cost much more. For the project you described, the building cost (not including land, soft and finance costs) should be between $300k and $400K.

    We have architects and engineers licensed in several states across the country. How are you outfitted for a design team? We would be happy to discuss this project in more detail with you. Let me know. Thanks and happy holidays!

    -Dean

  34. Avatar

    Hello,

    I own a small piece of property in WPB FL and want to build a three story three unit rental.
    Each unit/floor will be 20′ X 30′. I want to build vertical because I will then have a water view
    on the top floor. What would the cost be to build this small mini tower ?

  35. Avatar

    Douglas,

    Thank you for your inquiry. We have a Civil team that specializes in these types of submittals. The most important question, of course, is where is your project located. An SDP submittal in Duluth, is going to be different than New York City. I have forwarded your inquiry to our Civil team, so they will be able to guide you on what to expect, the costs involved, and would be happy to provide you with a scope and fee proposal to help you with your project.

    Thanks!

  36. Avatar

    Do you have any frame of reference for the cost to complete a site plan for submission and city approval.

    Site is mixed-use business and hotel site and site plan to include; building layout, egress/right of way, site parking and building placement for a 4-5 story, 125 key hotel and other buildings for mixed use site.

    Understanding there are many variables, is there an average percentage of development budget or some other calculation that is used ?

    Any input would be appreciated. Thanks !

  37. Avatar

    Douglas,

    Thanks for your inquiry. There can be a wide spectrum of fees depending on many factors. A quick study at the program would help to identify the overall size of the proposed building, what amenities are involved (pools, spas, restaurant/bar, ballrooms, etc.), and what site improvements would be involved (surface or structured parking, parks, gardens, wedding pavilions…).

    We can provide fees for in-house design services that include Architecture, Structural Engineering, Civil Engineering, Landscape Design Mechanical, Electrical and Plumbing Engineering and Interior Design. All together, you could easily be looking at anywhere from 5% to 15% of estimated construction cost, but again, so many factors to consider, it would be best to discuss your program and get a better sense of the programming and the site.

    We would be happy to discuss this project with you and help you with your strategy to take the next steps. We can provide services from initial feasibility and conceptual planning to Engineering, Construction Documents and Permitting, and beyond to Bid negotiation and Contract Administration. Please reply or give me a call any time and we can discuss further. Thanks!

  38. Avatar

    5 story, 4 star, 125 key hotel project, new build.

    can you provide some average percentages for architecture (design development to construction documents), and separately, just for interior design of the same project.

    Interior design would cover both included rooms, lobby, restaurant & common areas

    Thanks.

    douglas

  39. Avatar

    Hi Dean,

    Luckily we have a very good pool of modular manufactures in the area. I am waiting for a couple of issues to be clarified by the township and then I will start the engineering and architectural design. Again, my hotel is going to be very simple and practical, owned privately. I will contact you again when I get that far. Thanks!

    Nicole

  40. Avatar

    Nicole,

    We have found modular construction to be extremely cost effective in areas where it is available and nearby. Your best bet would be to get pricing directly from a supplier and compare that against conventional framing costs in a detailed line item budget. Do you have a design yet or do you need help with that?

    -Dean

  41. Avatar

    Hi Dean,

    I am planning to build a two-story 35-38 rooms limited service hotel in North PA. It is going to be wood framed. One construction option is modular build. I want to know if this option is going to save some investment comparing to stick-built construction. And what is the approximate cost per sf for modular hotel building? Again, the hotel is limited service, motel standard. Thanks!

    Nicole

  42. Avatar

    Hi Douglas,

    Different hotels definitely have varying degrees of non-room space. A conference center, for example, would be a wholly larger proportion of total square footage than, say, a boutique hotel in a vibrant shopping district. Some hotels (resorts) have multiple choices for restaurants while others may serve those needs off site. Your best bet is to inventory all of the spaces contemplated in the facility and assign a square footage to each based on their own needs. For example, you might inventory 50,000 square feet of conference space, 5,000 sq.ft. of boutique nightclub, 5,000 sq.ft. of restaurant, etc., 3,000 sq.ft. of lobby/reception, etc… Then, add in your room space (x number of rooms times 300 sq.ft. or so for a double occupancy room) and don’t forget horizontal and vertical circulation, which could easily comprise 10%-20% of your total plan. Utility and service space (HVAC etc.) will also occupy a significant amount of space, but there again, heavily dependent on the systems, the location (climate) of the hotel, etc.. Are there indoor spas, pools, business centers, casinos, theaters, etc.? And don’t forget administrative offices (if they are on site) and other support facilities like housekeeping, laundry, etc.. All of these things would inform your analysis. I know that doesn’t give you a definitive answer (because, frankly, there isn’t one to be given), but hopefully it informs your study. Best of luck!

    -Dean

  43. Avatar

    Hello,
    Doing a study (senior design thesis) on hotel construction and trying to determine the % of non-income (non-room) areas in a typical 4 star hotel.

    Example, in a 10 story hotel with 200 rooms, how much of the hotel would be for things like reception, kitchen, restaurant, service areas, storage, maintenance, elevators, hvac, etc.

    Looking for an average % of the total square footage for a standard 4 star hotel

    Thanks.

    Douglas

  44. Avatar

    Hi Mark,

    Thanks for your inquiry. I would definitely advise you to start with a conservative budget, then qualify it as you develop the design. For the upstate New York area, right around $200/sq.ft. is the “average” cost per square foot. This is based on the average for the costs across many line items for many buildings.

    This number can be variable, depending on design features and finishes. To be conservative, you should plan on a 10%-20% premium for higher end modern finishes, or other elements that lend themselves to a high end appeal At the same time, you can also achieve an edgy, urban aesthetic and be afforded at a discount, yielding perhaps a 10% discount. Those finishes will close the gap between. Beyond the initial index targets, you would need to start developing a conceptual design to then qualify those numbers.

    I hope that helps! We hold licenses in architecture and engineering in several states across the country, and have done projects in New York. If you would like to discuss your project further, let me know and we can certainly help out with everything from front end programming and conceptual design to final permit ready construction documents and everything in between.

    -Dean

  45. Avatar

    Hi,
    I am a Real Estate Broker in Up-State NY. I have a client who has a fully approved site for a 81 room, 3 story, mid-level Hotel in a Town that has litlle to no competition for this type of Hotel. He wants to market the land and the approvals. I’m having difficulty in pricing this, can you offer any direction on how I would determine an accurate price range? I’ve searched comps and there are just too many variables to consider.

    Thanks

    Mark

  46. Avatar

    Hi Bobby,

    Given what you have described, and the amenities you are looking to provide in your facility, I would say that construction costs in your part of the country would fall right around $150 per square foot. The result is that a 10,000 sq.ft. 20 room motel on one floor may be a $1.5M project while a 30,000 sq. ft 70 room motel (more efficient the larger you get as you spread common space across more rooms) may be a $4.2M project, and so on. The larger you go, the lower the cost per square foot due to economies of scale. And multi- floor construction is also advantageous (one roof, one foundation, more rooms).

    So, based on your overall budget, this will afford a first pass idea of how large the building can be, number of rooms, number of floors, etc.. These of course could be higher or lower depending on many factors, but until you’ve got at least a conceptual schematic design that is informed by the program and initial budget, this is about as close as you can get at this stage. Is becomes a feedback loop where the budget drives the size of the building initially, based on the general average cost per square foot. Then, the project starts design and informs the budget.

    I hope that helps. EVstudio works on projects across the country, and we would be happy to discuss how we can help you with your design for this project. Our team is made up of architects and engineers – essentially everyone you need to get your project ready for construction. And we also have good connections with construction firms as well – one I particular is based in Atlanta. Just let me know how we can help. Thanks!

    -Dean

  47. Avatar

    I chose to have motel built from the ground up. This will give me an opportunity to design my dream. The roof is a very important part of the building. I will use the metal roofs in a triangular shape because a metal roof is fire retardant and almost maintenance-free. By having a triangular roof, the motel won’t have a roof leaking problems because it will not hold water in rainy season. In motel, the biggest cost is a utility. To overcome that cost I have a special plan. Many times when customers leave from the room, they leave lights and AC on which will increases the utility costs. Therefore, I will use “The Energy Patrol System™” in each room, which will help me to save the energy and utility costs. I will hire the following employees: 3 front desk employees, 1 laundry, 1 breakfast, 2 drivers for transportation service, 3 housekeepers. My husband and I are also going to work. I will direct and coordinate a variety of activities surrounding the operation of lodging facilities. Areas such as reservations/registration, housekeeping, food service, accounting, and guest services are under my supervision. My husband is going to make a schedule, and supervise all employees. I will provide free Wi-Fi, gyms services to keep my customers healthy, 24/7 customer service, pool, dining area, free breakfast, game room for kids, garden for seniors so they can do the meditation in fresh air, computer room, meeting room, and transportation service to certain locations.
    When I got married I was 21 years old, I went to Mauritius for my honeymoon. Over there we stayed in a very nice motel. That motel had all the facilities that one customer expects. The environment was very romantic. I thought I am in heaven. From that day I had a dream of motel business. As the days passed, my dream and my memorable movements also grew. I decided to build a motel where the customers are not just renting a room but they are getting their home. They feel like they are staying in their home, not in motel. I have already worked in a motel for 7 years so I have knowledge and skills to run a business successfully. I have excellent verbal and written communication skills. I have frequently given the presentations to large audiences. At my work I am a successful leader, equally effective as member of a team, highly organized, able to multi-task, accomplish multiple objectives, maintain a professional demeanor, and give attention to detail. I have a quality of effective management, am driven to provide excellent customer service, and able to assess complex situations and formulate solutions. I am a comfortable and confident public speaker, able to motivate others to action. I have relationship-building skills acquired through experience in customer-service positions. I have skills in the areas of accounting, computer use, marketing, supervision, and possess other aspects of hospitality services required to succeed in this business. Also, I have skills that include initiative, self-discipline, the ability to organize and direct the work of others, work as part of a team, and to effectively communicate with guests and staffs. Even though I have strong skills, knowledge, and experience, I will have to face challenges. My biggest challenge is that there are many motel businesses that are going bankrupt. At this time I am going to start my new motel business. I will put all my efforts into this business. I plan to arrive at 7:00am to check if my customer needs anything or if they had any problem before they check out. If they have any problem I will give them best satisfaction. My first priority will be to give best service to my customer. I will do everything for my customers. If they suggest having more facilities, I will try my best to provide them.
    All customers are welcome in my business. Business men, business women, honeymooners, adults, and families are my potential customer groups. Business men and women have to travel for business purposes and families can enjoy vacations. I will target the baby-boomer also as my business grows. Seniors want to relax and I will have really nice and peaceful environments for them. As I explained previously, kids can enjoy a game room so their parents have privacy same time while they are watching their kids. By having a fitness center, customers can keep themselves healthy while they are on vacation. In a meeting room, business men and women can arrange their meetings with their clients. Since I will provide Wi-Fi, a computer room, and business center, customers who come for business purposes can have all the facilities which make their work easier. I will provide hot breakfasts to all my clients so they can start their day happily. In the dining menu, I will include a selection of freshly prepared appetizers, soups, salads, sandwiches and breakfast, lunch and dinner entrees available to order 24/7. In my services, I will also include a Special For Kids Menu, which is sure to please with traditional favorites, including Mac & Cheese, peanut butter and jam sandwich (PB&J), and Grilled Cheese. I will organize a separate floor plan for celebrations such as Christmas parties, wedding receptions, family get together, and club meetings. I will offer full of services for them. I will attend business events for networking. I will create business cards, brochures, and fliers and distribute them to the people. I will collaborate with the airline tickets agents and car renters. I will give the special rates to customer from Sunday to Thursday. Customers are able to apply for reward cards so they can save their money as they spend.
    Hyatt Place and Marriott Hotels are my two big competitors. Hyatt Place and Marriott also provide some of the services that I do. But I still have differences that attract my customers. I will have smoking, nonsmoking, Jacuzzi, and suites which will provide them special room as per their requirement and budget. I will provide guestrooms with modern decor with stylish furnishings including the luxurious bed, state-of-the-art media and work center with a 46″ Samsung smart high-definition flat-panel television that easily integrates with laptops and other electronic devices, a comfortable sofa-sleeper and bathroom vanity upgraded with granite countertops. Most exciting attractions, Georgia Aquarium, World of Coca-Cola, Georgia World Congress Center, Philips Arena, Hartsfield Jackson Atlanta Airport (ATL), are located within 10 to 15 miles. Hyatt Place and Marriott Hotels are not providing transportation services. On the other hand, I will provide transportation services, so customers can enjoy their favorite attractions without car parking troubles. Hyatt Place and Marriott don’t have gardens. The Patel & Motel does have a garden, which attracts my customers to stay.

    Could you suggest cost to build?

  48. Avatar

    Hi Jon,

    Thank you for your comment. Our source for cost estimating is R.S. Means, which is also the source of the data on the charts that you saw on our website. Based on the general information you provided, and your location, your project cost will likely be between $150-$180/square foot, depending heavily on the level of finishes. Boutique hotels can be at a premium for interior finish costs, and more detail would be necessary to bracket those costs. EVstudio participates in architectural and interior design as well as structural, civil and MEP engineering in many states all over the country. We would be happy to discuss your project in more detail if you are looking for a design team.

  49. Avatar

    Hi guys,
    I am looking into the initial costs of building a 50-60 room boutique hotel in the downtown are of a small Mississippi town. Was wondering if you had suggestions on where/how to find a good source for calculating costs…from sq footage, overall costs & even per room costs. This will be new construction and most likely need to rise 4-7 stories…maybe more depending on room size.

  50. Sean O'Hara

    Kunal, is the hotel just made up of hotel rooms or does it also include other facilities? Can you clarify what you mean by CBS; is it concrete block systems, composite building systems or something else. Thanks

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    Hi Sunny,

    Thank you for your inquiry. I would expect, in the location that you are looking, and the level of construction that you are anticipating, that you would fall between $100 and $150 per square foot for construction. 10-14 rooms is a pretty small motel by most standards, and the questions I would have for you is what other amenities are you planning on providing? Will the motel offer a pool, breakfast room, lobby space? These things would factor into the total square footage, so your program for net size of structure would inform the overall budget. If you would like any help in the programming or design of your project, our team is very familiar with that project type and we would be happy to discuss with you further. Thanks again!
    -Dean

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    I am planning to buy 1.5 -2 acre land to construct 10-14 room motel of supar 8 motel standard finishing in michigan.

    Can you give me idea cost/sq ft?

  53. Avatar

    Hi,

    I own a 45 unit exterior corridor motel in Florida City, Florida. I was plannin on tearing it down and building a 3 story, 6o unit interior corrdor hotel. I wanted to know a rough estimate on how much it would run to build one using CBS.

    Kunal patel

  54. Avatar

    Hi Tola,

    Thank you for your inquiry. REED Construction Data is very specific to the regions for which it published data. The information about any one market within the United States alone will show that there are some areas of the country where cost per square foot is more than double other parts of the country. These indexes are very sensitive to local labor markets, availability of materials and numerous other factors. As a result, it is difficult enough to extrapolate this information to other regions within the United States. I do not think it would be appropriate to extrapolate this information to other parts of the world where the entire economy is different.

    However, with that being said, there should be indexes available and one of the best resources would be contractors or owners of similar projects in your area that would be willing to share their construction cost information. Public projects in the United States are required by law to share cost information, so if this is similar in your country, you should be able to get that from the local public resources. Bear in mind that every project is unique and these numbers are only indexes. Actual project costs would need to be derived from a full design that could be priced.

    I hope that helps. We would be happy to work with you on any level of the design for your project, and while I don’t know offhand what the licensure reciprocity is across our borders, I am certain that we can sort that out as the US has very rigorous standards, testing and continuing education requirements for architects and engineers so registration by comity is fairly typical. We have done various levels of design work for projects in other countries before, so the idea of working in other parts of the world appeals to us.

  55. Avatar

    Dear Dean,

    Does this analysis cover Africa as well.

    We have an enquiry from a client who have interest in developing an Hotel in Abuja that will rival the Hilton (Which is Nigeria No 1 today).

    As you answer, you can as well send us a mail, so that we can continue the discussion in a more formal way.

    Expecting yours.

    Cheers,
    Tola

  56. Avatar

    Hi Vic,
    Thanks for your question. The index pricing includes data across a wide range of projects, many of which would include those kinds of amenities. Of course, every project is unique though, so a specific program can really drive the cost per square foot – and this is especially sensitive to the size of hotel and number of rooms as well.

    As far as casinos, again, those are very program driven. A hotel-casino will fall more in line with hotel costs while a stand alone casino might fall more in line with conference or even theater programming. And most casinos also integrate restaurant facilities as well, so there can be a real mix of functions. Again, special features often found with casinos (theatrical lighting, water fountains, unique attractions) can really drive costs. and these index numbers would not include FF&E costs for the gaming equipment, so that would need to be considered as well.

    If you have a specific project you would like to discuss in more detail, I’d be happy to talk it over with you so you can get a better idea on your project. Thanks!

  57. Avatar

    Hi
    Do your costs per square foot of Hotels include cost of: amenities like: restaurant, gym,spa, pool?
    Also, do you have any similar costs for casinos?
    Viv

  58. Avatar

    Hi Cliff,
    Thank you for your comment on our post for the construction cost of hotels. Not knowing anything about the site or the program for the building (what amenities, services, etc.), the average index for a 4-story hotel in your area will likely be in the ballpark of $180 per square foot. So, for 80,000 square feet, the building construction cost will be in the neighborhood of $14,400,000 excluding FF&E, Land, financing or soft costs. Obviously, the actual design and program will inform this number considerably, but for the sake of a back-of-the-envelope educated guess, sight unseen, it is a good place to start.

    If you need any help programming, designing or engineering any project, please let us know and we would be happy to propose on any scope of work for you. We are licensed and work in several states across the US and our team of professionals is very competitive, and used to working with contractors on tight timelines and budgets.

    Sincerely,
    -Dean

  59. Avatar

    Hi
    I own property on rt 23 in Wayne nj and have been approached by a company looking to put a 4 story 100-1120 room Hilton extended stay hotel on the site. How much does it cost on a sq. ft. basis to construct. It will be wood not steel. Thanks.
    cliff

  60. Avatar

    Hi Jamie,

    We’re happy to help out! The most important thing you need to start with is: just how big is this community going to be? A utopian society of 100 is a very different thing than say, 100,000. Also, how much area to you have to work with? 100,000 people in 100 square miles is a very rural setting where 100,000 people in 1 square mile has very different needs. The cost of land will be one piece of your puzzle. The cost of construction for buildings will be another. Note that the more square footage that you can stack, the less expensive the building will be per unit area. For example, a 3 story single family home will be less expensive to build than a one story ranch of the same size. So, apartments are more cost effective than single family homes. Apartments in your area can be constructed for around $160 per square foot. So, if each family of four is allocated a 2,000 square foot apartment, and you are housing 10 families per floor with 7 floors, you can house 70 families in a 7 story, 140,000 square foot apartment building for a building cost of 22.4 million dollars. That’s 280 people in a single building. Those same 70 families in individual detached housing may cost a bit more for the construction cost, and significantly more for the land cost. I do not know what the land values are for your area, but any local realtor would be able to help you out there.

    Just be wary though, because anytime you have a large population of people under one roof, they all have to get along – and this may be the single biggest challenge for a utopian society!

    Best of luck with your project!

    -Dean

  61. Avatar

    Hi,
    I am in 8th grade and am required to make a Utopian society. I’m not sure what would be the most cost efficient thing to do: sell plots of land, build houses to sell, or build apartment buildings. My teacher is very specific on how we are to pay for this and how much it will cost. As you can probably tell we don’t have much money to work with. The location we have chosen was Harbor Springs, Michigan. As an 8th grader I have no experience in this type of field so any help you can give would be greatly appreciated.
    Thanks! -Jamie

  62. Avatar

    Hi Ed, Thank you for your question. I actually have a post coming out very soon for your very question and it is linked here for your use: https://evstudio.com/cost-per-square-foot-for-construction-for-8-to-24-story-apartment-buildings/. In the meantime, the data for apartment buildings from 8 to 24 stories tells us that a regional median cost is $220 per square foot, however, in nearby New Orleans, the cost is closer to $185 per square foot. I don’t have any data specifically for Biloxi, but the southern region tends to hover around that $185/sq.ft. mark. I hope that helps, and if you need any help with the architecture or engineering for that project, we would love to discuss it with you more. Thanks!

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    Hurricane Katrina destroyed our neighbored in Biloxi. Insurance cost makes building below 24 feet above ground level not practicable due to storm surge and high wind damage (200mph). We are thinking of building a multi-story high rise, condo, hotel, casino and retail building. The land is 36 acres prime waterfront.

    That is the building cost difference between 10 and 25 stories.

    Looking for very rough estimation at this time.

  64. Avatar

    Hi Kenny,

    Thank you for your interest in EVstudio. We have worked on a number of hotels and would be happy to discuss your project with you. Have you started working with a design team? That will be the very first place to start as there are several large cost driving decisions that need to be made before design really begins. Our team includes both architects and engineers that can value engineer your project and help you with initial cost analyses based on your program, site information, and initial design concepts. Initial phone consultations to get started are always free of charge and we can work anywhere in the country. In fact, we have already designed a few smaller projects in Michigan.

    Let me know and we would be happy to work with you on that. Thanks Kenny, and I look forward to hearing from you

  65. Avatar

    Will be building hotel in near future looking for costs , Building will take place in Lake Orion Michigan, 100 rooms , 2 possibly 3 floors ,Looking for some sort of cost analysis ,Property is secured , Can you help ? Thanks Kenny

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