What are the costs involved in renovating a commercial space?

In the course of our interior design practice, we notice that new business owners are usually overwhelmed and stressed by the pace of the design and renovation process and the technicalities involved. This article will provide clarity on the associated costs in the context of a commercial space within a retail mall.

By reducing the number of unknowns associated with renovation, you can have more peace of mind to manage the operations of your business. Do note that this article serves as a general guide only as each retail mall may have its specific requirements.

K5DS0080
Interior of Style Na hair salon at Parkway Parade
veritas shopfront
3D rendering of Veritas Medical Aesthetics clinic at Capitol Piazza

If you are setting up a new business in a shopping mall, renovation costs usually form a large percentage of the capital required. Besides the cost of renovation works payable to the Main Contractor, there are other miscellaneous costs involved (payable to Landlord, landlord’s appointed consultants, nominated contractors, and your appointed Building Professionals including Architect, M&E and C&S Engineers for submissions), which you should be aware of.

  • ID (Interior Designer) fees
  • Interior Renovation costs
    • Payable to Main Contractor you engage for the works
    • This forms the bulk of the expenses.

Other miscellaneous costs (not exhaustive):

  • Fitting-out deposit
    • The deposit required by the retail mall varies, and is dependent on the area of the premises.
  • Vetting fees by retail mall’s appointed Consultants
    • Architect
    • M&E (Mechanical & Electrical) Engineer, to be advised by appointed Architect if required
    • C&S (Civil & Structural) Engineer, to be advised by appointed Architect if required
  • Sprinkler works
    • Sprinklers are automatic devices installed in the ceilings of buildings, to extinguish fire, when triggered. The number and locations of sprinklers is dependent on the layout and will be advised by the tenant’s Professional Engineer (Mechanical)
    • Depending on the requirements of each retail mall, Landlord may require sprinkler works to be done by in-house sprinkler contractors
  • Sprinklers discharge and recharge fees
  • Temporary Electrical Supply
    • Usually chargeable on a unit rate/ day and is dependent on duration of renovation
  • Temporary Water Supply
    • Usually chargeable on a unit rate/ day and is dependent on duration of renovation
    • Usually required at tail-end of renovation period
  • Endorsement fees by Professional Engineer for electrical supply to premises, including endorsement by LEW (Licensed Electrical Worker) on CS3 form
  • Fees for vetting, endorsement and submission to authorities by tenant’s Architect, C&S Engineer and M&E Engineer
    • Submissions to the relevant authorities would be required depending on scope of works and usage of space
  • Others

The retail fitting-out manuals which are usually provided by the mall upon lease confirmation will contain detailed and specific guidelines. An experienced Interior Designer will be able to guide you on the process and detailed costs involved.

We will be happy to assist you with any queries. Contact us here!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s