International 2 to 3 Star Hotel Construction
What does it cost in the USA & around the world to build a 2 to 3 Star (middle of the road hotel)? We get asked this question a lot, we have
compiled a cost per square foot & square meter benchmark report on 25 # USA & International locations that is indicated below:
Notes / Comments:
There is no exact answer to this question because there so are many variables to the Square Foot (SF) / Square Meter unit
cost, such as:
- Location: is hotel in a congested city center with material handling logistical and delivery problems, or is hotel situated in the city suburbs with less material delivery logistical issues:
- Large or small application: (Typically the larger the usable space the lower the unit price will be).
- Use of high end i.e. expensive construction materials or are middle of the road construction material and fixtures being utilized.
- Contracting approach: (Lump Sum or Negotiated contract), Construction Schedule (fast track, perhaps overtime pay will be required, or normal approach) and the local bidding climate in this particular location, an extremely active construction market tends to increase contractors profit margins:
- Union or Non-Union Labor: this applies predominantly in the USA, where the vast majority of construction in the largest 2o cities is executed by Union Labor, which on average is 15% to 25% more expensive than Non-Union labor (Open Shop):
2 to 3 Star Hotel (3 to 6 floors – 10 to 12 high floor to floor) Total Usable Footprint Space 125,000 SF to 200,000 SF / 11,617 M2 to
18,590 M2
Mid 2016 Cost Basis:
- Costs are based on a suburban city location, (average 5 to 7 miles outside city center).
- Excludes Architectural & Engineering / Detailed Design Fees: Typically these cost 5% to 10% of the indicated Construction Costs indicated below:
- Excludes Construction Management Fees: Typically 3% to 5% of Construction Costs below:
- Excludes Land purchase, furniture, fixtures, restaurant / kitchen items, art work, linens, towels & bedding etc.:
