Cost model: Distribution centres | Features

Materials handling equipment costs
Basic low bay storage racking with standard aisle widths for forklift truck	£30–40/m² affected floor area
Low bay storage racking, 12 to 20 m high. Racking with narrow aisles and manual operation	£100–150/m² affected floor area
Low bay storage, 12 to 20 m high. Racking with narrow aisles and ASRS system	£200–250/m² affected floor area
High bay storage, 20 m high racking with narrow aisles and full ASRS to “black box” racking area	£250–300/m² affected floor area
High density, high bay storage to 30 m. Racking with narrow aisles and full ASRS	£350+/m² affected floor area
Allowance for warehouse control system	£150,000–1,000,000
Allowance for picking systems	Costs are application and process-specific

Distribution centre cost breakdown
	element cost	cost/m² gifa £	% of total cost
New-build distribution centre shell
Substructure	3,291,000	45.90	26.20
225 mm reinforced concrete ground slab to provide 50 kN/m² UDL; laser levelled to FM2; surface hardener; 250 mm thick subbase; perimeter ground beam; lift pits 70,000 m² @ £40
Insitu concrete pad foundations and ground beams 260 @ £1,100
Allowance for foundations and retaining walls to dock levellers 100 @ £2,050
Frame	2,870,000	40.03	22.85
Steel propped portal frame, cold rolled purlin sections, surface treatment, including decorations 70,000 m² @ £41
Roof	2,861,600	39.91	22.78
Composite roof panels; powder coated galvanised steel; standard colour 70,000 m² @ £25
Extra over for 10% rooflights 7,000 m² @ £30
Roof drainage generally; syphonic system with secondary overflow system 70,000 m² @ £6
Eaves/valley gutter; galvanised steel; insulation; stop ends 3,100 m @ £115
Allowance for mansafe system, hatches and access ladders Item @ £125,000
External walls, windows and doors	749,500	10.45	5.97
Wall cladding system, composite panels and built-up cladding systems; mineral fibre insulation; polyester powder coating 17,750 m² @ £35
Allowance for personnel escape doors 25 @ £750
Cladding and details to inside face of parapet walls; 500 mm high 1,150 m @ £43
Level access doors; insulated sectional overhead dock doors; ambient type; 4,000 mm × 5,000 mm high; including allowances for additional framing and cladding detailing 100 @ £600
Dock leveller installations	1,167,500	16.28	9.30
Insulated sectional overhead dock doors; ambient type; 2750 mm × 3000 mm high; including allowances for additional framing and cladding detailing 100 @ £2,250
Electro-hydraulic dock leveller; 2,000 mm × 3,000 mm long; 10,000 kg gross load; precast concrete dock pits; wheel guides 100 @ £7,000
Dock shelter; heavy duty scissors retracting frame 100 @ £1,850
Protection, bollards to door tracks; heavy duty rubber dock buffers Item @ £ 33,000
Traffic control lights 100 @ £245
Services installations	681,500	9.50	5.42
Building drainage 70,000 m² @ £7.50
Gas and water connections Item @ £20,000
Water installations; storage, distribution and hot and cold water services Item @ £34,000
Electrical installation; general sub-mains and distribution Item @ £75,000
Electrical installation; switchgear and submains distribution to dock levellers and access doors Item @ £20,000
Allowance for lightning protection Item @ £7,500
Preliminaries and contingency	938,900	13.09	7.48
Contractor’s overheads and profit, site establishment and supervision @ say 6% Item @ £697,000
Contingency @ say 2% Item @ £241,900
CONSTRUCTION COST
shell only, rate based on gifa	12,560,000	175.16	100.00
Office shell and fit-out
Substructure	70,000	20.00	2.56
Extra for foundations to offices; insitu concrete pad foundations; ground beams; lift pit (unit based on upper floor footprint) 1,750 m² @ £40
Frame, upper floors and stairs	266,000	76.00	9.71
Steel frame, universal sections; surface treatment, fire protection and decoration 3,500 m² @ £45
Upper floors; 200 mm thick precast concrete plank and structural screed 1,750 m² @ £50
Allowance for fire stopping to perimeter Item @ £16,000
Precast concrete stairs, mild steel balustrades and handrails; polyester powder-coated 2 @ 2,500
External walls, windows and doors	378,500	108.14	13.81
Extra over wall cladding for double glazed ribbon windows 750 m² @ £350
Extra over wall cladding for louvres Item @ £70,000
Allowance for glazed screen Item @ £25,000
Glazed entrance doors; to match glazed screen (cost per leaf) 14 @ £1,500
Internal partitions and doors	45,500	13.00	1.66
140 mm thick blockwork; head restraint; fire stopping 700 m² @ £55
Doors; ironmongery (cost per leaf) 14 @ £500
Finishes	256,000	73.14	9.34
Allowance for wall finishes generally, emulsion paint and ceramic tile (allowance based on floor area) 3,500 m² @ £11
Raised floor to office areas only; 150 cavity; fire barriers 3,200 m² @ £30
Ceramic tiles to reception and WCs 650 m² @ £45
Vinyl sheet and skirtings to corridor areas 750 m² @ £35
Suspended ceiling; mineral fibre tile in exposed lay in grid 3,500 m² @ £18
Extra for moisture resistant tiles 300 m² @ £10
Fittings	585,500	167.29	21.37
Allowance for for open plan office fit-out to category B 3,500 m² @ £150
Allowance for kitchen fittings Item @ £10,000
Allowance for reception fittings and features Item @ £40,000
Alllowance for matwells and frames Item @ £5,500
Allowance for WC fittings Item @ £5,000
Services installations	823,500	235.29	30.05
Sanitary fittings generally (average rate, includes provision for disabled etc) 75 @ 400
Water installations; storage, distribution and hot and cold water services Item @ £34,000
Disposal installations; soil and vent and waste Item @ £22,000
Low temperature hot water heating; boiler; distribution and panels 3,500 m² @ £25
Mechanical ventilation and comfort cooling; air handing and chiller plant; plant room installation; ductwork; insulation and grilles 3,500 m² @ £105
Allowance for toilet and lift motor room ventilation Item @ £25,000
Gas installation Item @ £5,000
Electrical installation; high voltage supply, sub distribution switchgear and cables, mechanical services wiring, earthing Item @ £90,000
Electrical installation; lighting and emergency lighting and small power 3,500 m² @ £35
Lift installation; eight-person electro-hydraulic Item @ £40,000
Builder’s work	40,000	11.43	1.46
Allowance for builder’s work in connection with services say @ 5% Item @ £40,000
Preliminaries and contingency	275,000	78.57	10.04
Contractor’s overheads and profit, site establishment and supervision @ say 6% Item @ £148,000
Contingency @ say 5% Item @ £127,000
CONSTRUCTION COST
office shell and fit-out, rate based on office area	2,740,000	782.86	100.00
Distribution centre fit-out
Fixtures and fittings	320,000	4.46	5.58
Protection; secondary steelwork, armco barriers, bollards, handrails Item @ £80,000
Allowance for protection generally Item @ £115,000
Allowance for internal and external signage Item @ £45,000
Allowance for jockey wheel strips and wheel stops Item @ £80,000
Services installations	4,746,600	66.20	82.84
Gas fired heating to warehouse areas; high level nozzle system 68,200 m² @ £8.50
Roof smoke ventilation system; compressors and ventilators; controls; smoke curtains 68,200 m² @ £6.50
Electrical services; allowance for increased incoming power supply Item @ £200,000
Electrical services; mains and submains distribution; power supply to mechanical installations; high level lighting 68,200 m² @ £29
Electrical installations; standby generator Item @ £250,000
Protection installations; roof level sprinklers and storage tanks (category 3) 68,200 m² @ £12
Communications installations; fire detection and alarm 68,200 m² @ £3
Communications installations CCTV 68,200 m² @ £3
Communications installations; PA 68,200 m² @ £1
Builder’s work	80,000	1.12	1.40
Allowance for builder’s work in connection with services Item @ £80,000
Preliminaries and contingency	583,400	8.14	10.18
Contractor’s overheads and profit, site establishment and supervision @ say 6% Item @ £309,000
Contingency @ say 5% Item @ £274,400
COST
fit-out only, rate based on gifa	5,730,000	79.92	100.00
External Works
Site works	3,782,800	52.76	56.33
Allowance for site preparation; filling to make levels; geo-textile membrane; allowance for the removal of obstructions 175,000 m² @ £4.25
Excavation to form ramp to dock levellers Item @ £50,000
Heavy duty access road and service yard; 175 mm concrete on 250 mm thick subbase; kerbs, road markings 46,500 m² @ £35
Extra for ramped vehicle access Item @ £50,000
Car parking; tarmacadam on subbase 30,500 m² @ £26
Paved areas for pedestrian and maintenance access; precast concrete paviors on sand and 150 subbase, kerbs (average rate used) 4,800 m² @ £25
Allowance for soft landscaping, including reuse of topsoil 30,000 m² @ £7.50
Boundary fencing; 2.4 m high; gates and entrance barriers 1,900 m @ £65
Signage Item @ £50,000
Drainage	616,000	8.59	9.17
Hardstanding drainage 77,000 m² @ £8
External services	715,000	9.97	10.65
Allowance for gas, water, electricity and telecommunications connections and on-site distribution Item @ £190,000
External lighting installations including BWIC Item @ £225,000
Fire hydrant main; 12 hydrants Item @ £150,000
Allowance for builder’s works in connection with utilities; service trenches and inspection chambers Item @ £150,000
Ancillary buildings	920,000	12.83	13.70
Allowance for vehicle wash and steam clean facility Item @ £250,000
Allowance for fuel facility; canopy Item @ £200,000
Allowance for sprinkler tank base and housing Item @ £50,000
Allowance for gatehouse and stand-alone transport office Item @ £375,000
Allowance for axle weigher Item @ £25,000
Allowance for cycle storage Item @ £20,000
Preliminaries and contingency	682,200	9.51	10.15
Contractor’s overheads and profit, site establishment and supervision @ say 6% Item @ £362,000
Contingency @ say 5% Item @ £320,200
COST
external works only, rate based on gifa	6,716,000	93.67	100.00
TOTAL CONSTRUCTION COST
rate based on gifa	27,746,000	386.97