How Much Does It Cost to Remodel a Retail Store?
[BLOG] Published: 2022-09-04 - Updated: 2023-02-09
How Much Does It Cost to Remodel a Retail Store?
There are huge differences in how much it costs to remodel a business space. Large convenience stores cost more to renovate than small clothing boutiques. But you can expect to pay about $200 per square foot on average.
The estimate includes all expenditures, from raw materials to labor to design. But if your space is smaller or your project is smaller, you can probably expect to pay less. There is always a cheap way to finish a project.
Costs to keep in mind when renovating a retail store
Design and designer fees
Design and designer fees
One method by which renovation saves money is that you don't need a structural engineer. Most remodels don't require any structural changes. But the design fees are something you do need to think about.
On average, 20% of your total budget should be set aside for design fees. This is the first step in the process, and it's also when you need to set your budget. Your designer will choose all of the things that will go in your space to meet your needs. I.e. (furniture, materials, etc.)
You'll have to pay for all the things you'll need for your renovation, of course. This includes everything from the paint you use to the lights you change and the furniture you add to your room.
If you want the nicest materials and furniture, expect to pay more than if you shopped at a thrift store. (Alpha Omega Contractors 2021) When you make your first budget, keep this in mind.
Labor costs are the last big cost to think about. Construction workers and other specialists are included in labor costs. Various companies charge different rates for contractors, so acquire quotations from multiple companies.
You can't do all repairs on your own. If you want to do a big renovation, you should talk to a commercial contractor who can help you do it safely. When hiring a contractor, you should look for one with a good name and the right licenses and insurance. (Alpha Omega Contractors 2021) A good contractor will undertake improvements safely and legally.
When you are remodeling a retail store, you should also think about how to fix or replace your HVAC system. You can put in or fix your HVAC system for about $2.50 per square foot. Again, this number depends on how your system is set up, your goals, and how much money you have.
Even though utilities shouldn't be a huge burden or cost much, you may want to alter them. If the AC and plumbing have worked well for you, don't replace them.
Business owners who rebuild their commercial space often update the utilities. Usually, they want to change the lighting. You may need to contact an electrician to make sure all the changes go smoothly and you don't have any extra wiring issues.
Retail shop renovations generally entail electricians, plumbers, and HVAC technicians. Electrical upgrades cost $3 to $4 per square foot. They might cost much more, depending on the modifications and lighting. Your business has unique power needs. New appliances or equipment may need system upgrades. This will affect your electricity costs.
Plumbing costs in a business
Most of this part of the budget will depend on:
- Are there restrooms?
- If not, do you want to use the bathroom?
- Will it stay in the same place if you have one?
ProTip takeaway: a bathroom could help because you don't want to give customers a reason to leave your store.
A simple bathroom could cost between $3,000 and $6,000.
Plumbers may be needed to install bathrooms, update kitchens, or change store layouts. A plumber with a lot of experience will help you figure out what you need and how much it will cost.
Your budget should include paint, millwork, design features, and fixtures. On average, floors cost $2.76 per square foot, and ceilings cost $1.81 per square foot. Display fixtures or millwork cost $10 per square foot. Retail store renovation costs include permits, demolition, inspections, and "just in case" situations. Remember that the cost of updating a retail store can vary a lot. Some of these renovations can cost tens of thousands of dollars, while others can cost much less. Your retail store renovation can go smoothly if you plan it out carefully and work with experts.
Pro tip Takeaway: Your storefront will be a potential customer's first impression of your business. You don't want an old-fashioned store design to stop you from bringing in new customers. Renovating a business building fixes architectural or structural issues.
Benefits of investing in a retail store renovation project.
1. Make good use of the space you have.
A retail storefront has a limited amount of space for a business owner to show off their products. If you don't make good use of the space in your store, it can cause a lot of problems. Unorganized commercial space can lead to clutter and difficulty displaying merchandise.
If your customers complain about your storefront, change it. Retail design consultants can help you maximize your business building's space. You can make the most of the retail space you have by putting in new lighting, better shelves, and new signs.
2. Make Your Customers Happy
There are many ways for a modern consumer to shop for goods. When people go to a store for the first time, they are usually very critical of the way it is set up. Most of the time, customers tend to go to stores that make shopping fun.
If your store layout is hard to understand or confusing, it can hurt your business. If your storefront isn't well-designed and you're losing customers, make modifications. With a renovation project, you can fix any problems with the way your retail store looks.
Ask your present customers where to make changes. With the help of your audience, you can make a retail design that they will love.
3. Make the reopening following a renovation an event.
Most retail business owners think it's important to get attention from local customers. Most people want to go to shopping events. If you want to attract visitors to your region, make a big deal out of your store's reopening.
You can move a lot of products during this grand reopening event if you offer great deals. Promoting the reopening well is important if you want shoppers in your area to be interested.
4. Enhanced Energy Efficiency
If you want to make more money with your retail business, you need to lower your monthly operating costs. Energy bills are often one of the biggest costs a business owner has to deal with. If your business is in an old building with old insulation, lights, or windows, energy costs will be higher.
During a retail renovation project, you can take care of all the ways your building wastes energy. New windows that use less energy, LED lights, and better insulation can help you save money and energy. Long-term savings make these energy-saving measures worthwhile.
5. Improve the working environment for employees.
It takes a lot of work to run a store. The best way to get more done is to hire people who are motivated and willing to work hard (New Hope Network 2011) When a store isn't set up well, it can be hard for employees to do their jobs.
A retail remodel boosts efficiency and employee morale. You can fix any problems you or your employees have with the way your store is set up with these projects.
6. Improve Your Competitive Edge
As the owner of a retail business, you have to get used to competition. If you want most of the business in your area, you need to keep local customers interested. One of the best ways to get more people interested in your brand is to fix up your store.
Your retail building can look brand-new if you do a lot of work on it. For your reopening, you must use social media to talk about the new parts of your store's design. With this knowledge, you can attract new customers to your reopening.
7. Get Rid of Outdated Design Problems
Does the front of your store look like it came straight from the 1980s? People might not shop at your store if they think the way it looks is old. Because of this, the design should be upgraded with a refurbishment. Modern customers want stores that look and feel modern. With the help of professionals, it won't be hard to update the look of your store.
Are You Ready To Remodel Your Retail Store?
Smart Remodeling LLC can plan and design to make the process go more quickly and easily. To ensure a successful retail store refurbishment, Smart Remodeling LLC offers design and planning. Our breakdown hotline is available 24 hours a day, 7 days a week. Set up a free meeting as soon as possible. Contact Smart Remodeling at 832-808-8889 or firstname.lastname@example.org. The best team in Houston works for Smart Remodeling LLC.