All builders who need a production, storage or sports hall look primarily at two issues when comparing offers: the completion date, if time matters, and the total cost, as they usually have a specific budget they do not want to exceed. The question “how much does it cost per square metre to build a steel hall?” is heard very often, but the answer is not as simple as it might seem. This is because the cost of building a hall depends on a number of factors. Which ones?

Building a steel hall is a major undertaking that requires a thorough analysis of the investor’s needs, finding the right site and setting a budget. Many companies are looking for information on what the cost of building a warehouse will be to estimate their financing capacity. Is it possible to estimate how much the construction of the hall will cost, giving a price per sqm?

Steel halls price per sqm. Can this be estimated?

“How much does it cost to build a warehouse hall?”, “What is the cost of building a production hall?”, “How much will it cost to build a sports hall?” “How much do you have to pay for steel halls to be demolished?” – These and other questions investors ask us on a daily basis. Nevertheless, it is very difficult for us to determine what the average price per sqm of steel hall will be. The answers usually begin with “it depends”, as many factors influence the cost of a steel hall.

First of all, it is important to bear in mind that the basic cost of building a warehouse or other industrial hall can be divided into different types: preparatory cost, construction cost, finishing cost and operating cost during the construction work. Preparatory cost includes carrying out geological surveys, designing the project and obtaining the building permit. The construction cost includes expenses on building materials, transport, machinery and salaries for professionals involved in the construction. The finishing cost is for the arrangement of space according to the investor’s expectations and technology requirements, while the operating cost during construction include servicing, all expenses for utilities, as well as maintenance.

A cost estimate for a steel hall is always made after understanding the investor’s individual needs. This elaborate document includes, among other things, the cost of materials and transport, labour, equipment use, indirect cost, tax and the assumed profit. Depending on who creates the cost estimate for the storage hall, it can be the investor’s estimate – the investor assumes how much it can spend, or a quotation estimate – where the contractor quotes the cost of building a hall.

Cost of the steel hall. What does the price depend on?

Let us go back to the factors that determine the cost of workshop, storage, production and other steel halls. The main elements affecting how much you will have to pay for steel halls are:

  • the size of building – the larger the area, the higher the cost; in addition, the width and height of the building are important;
  • location – if there are problems with the land, preparing a plot of land for construction can be very expensive, as can be relocating of the existing underground or above-ground utilities;
  • the purpose of the hall – the price of building a high-bay warehouse will be different from that of a sports hall or cold storage facility;
  • type of steel hall structure – e.g., plate girders or trusses;
  • type of flooring – including concrete with dispersed reinforcement, concrete with reinforcement mesh;
  • types of internal systems – electrical, ventilation, heating, hydrant etc.;
  • the number and type of ancillary components – i.e. gates, loading docks, skylights, windows, etc.;
  • type of cladding and thermal insulation of the facility – metal-wool-cladding, sandwich panels, trapezoidal sheeting;
  • ancillary equipment – e.g. overhead cranes in production halls;
  • office and staff areas – if present, size and amenities;
  • development of the area around the hall – car parks, access roads, green areas;
  • special requirements – e.g. the facility should meet environmental standards and have a photovoltaic panel system, etc.;

How much does it cost to build a warehouse?

The price per sqm of warehouses – let us stress again – is difficult to estimate. Industrial halls of this type differ, among other things, in terms of their height (low- and high-bay halls) which has a significant impact on the cost. In addition, the price of a warehouse will be much higher when the facility needs tens of loading docks than when it has a few.

One more thing to mention is the cost optimisation that is of key importance for such large projects. It is, therefore, worth taking the time to find a general contractor who also focuses on this aspect of the project. If the right solutions are chosen to suit the investor’s needs, a great deal of savings can be made both during the construction phase and in the subsequent operation of the building.