New Construction vs. Renovation: What’s Right for Your Business?

If the time has come for your business to grow, you’ll have two main options for this process: new construction or renovation. Both routes come with many advantages, but also some potential drawbacks. New construction allows you to start from scratch with a brand new structure, while renovation can rework your existing structure so that it perfectly suits your current needs.

The decision between renovation and new construction for your Twin Cities business will ultimately come down to a few key factors. In this blog, we’ll explore what these determining factors are and help you make the best decision for your business goals.

Important Factors of Renovation & Construction

 

  • Cost

On the front end, new construction will almost always cost more than renovation. Beyond the actual cost of labor and materials, you’ll also need to pay for land acquisition and architectural design before you can even begin building. With renovation, these pre-construction costs are eliminated and you’re only paying for the materials, the work itself, and any required permitting. However, in the long term, a newly constructed commercial building with modern infrastructure may have lower maintenance costs than an older structure that you chose to renovate.

  • Project Timeline

Beyond being more budget-friendly, renovation is also a faster process than new construction. While project timeline can vary greatly based on the scope of work, renovation can often be completed in a couple weeks to a few months. By contrast, new construction in the Twin Cities metro will generally take at least several months and possibly over a year from start to finish. If a short timeline is a priority – particularly if business continuity is a concern – renovation may be a better choice for your business.

  • Customization

The biggest advantage to new construction is that you’ll have much more flexibility to customize the design of your business space. With a renovation project in the Twin Cities area, you’re restricted to working with the existing structure. This will often force you to find creative workarounds, which can be expensive and challenging to pull off. When you choose new construction, every element of your new commercial structure can be tailored to perfectly suit the unique operational needs of your business from the day you move in.

  • Energy Efficiency

If energy efficiency is a priority for your business, new construction may be the right choice. Building a new structure allows you to make choices that promote sustainability, such as installation of modern HVAC systems that consume less power and the implementation of solar power. With a renovation project, it is possible to retrofit your existing building to add energy efficient features, but older construction may limit your efforts.

  • Codes & Regulations

Both construction and renovation come with their share of regulatory hurdles. However, renovation projects have the advantage in that some Twin Cities business properties may be grandfathered in, meaning that certain elements of the structure aren’t required to meet the standards of current codes and regulations. However, substantial renovation work, such as building additions, may force you to adhere to updated codes. New construction will always require you to meet current fire codes, ADA compliance, zoning ordinances, environmental requirements, and other regulations.

  • Business Disruption

A renovation project for your Twin Cities business will inevitably be disruptive to normal operations. Depending on how extensive the renovation work is, you may need to temporarily shut down or relocate while work is completed. With a new construction project, you may be able to continue running business operations as normal, provided the new structure is being built on a different property – or, at least, a different area of the current property where work won’t significantly impede staff or clientele.

 

Choosing Between New Construction & Renovation

 

Ultimately, the choice between new construction and renovation will come down to your priorities. If you feel your existing structure is a strong foundation, and you’d prefer a project that is less costly and quicker to complete, renovation is the right choice for your business. However, if you want to start fresh with a customized building that is designed to better accommodate your business goals, you should opt for new construction.

Whether you choose renovation or construction, it’s important to work with a locally experienced general contractor. If you’re interested in discussing the details of a new construction or renovation project in the greater Twin Cities area, reach out to Heritage Construction today!