Eventually every successful business meets the milestone to expand their existing building, to meet growing market demands. However, many business owners are often finding themselves conflicted on whether to build out or to build up? Building out is the construction process of increasing the size of an existing building horizontally. For example, if I were to add extra footage to the building’s foundation and roof. Building up is the construction process of increasing the size of an existing building vertically. For example, if I where to add a fourth floor to a three-story commercial building. Both options have advantages and disadvantages, by understanding these two different construction projects, you can select the best option for your business with confidence.

What are the Advantages of Building Out?

There are many reasons to build out your commercial property. For example, you may be looking to create additional office space for your employees. With commercial buildouts you limit the impact of construction on your business operations. Many business owners and managers value build outs because it does not affect their bottom line. Yes, build outs may be more expensive than build ups. However, they may save you more money in the long run, when you consider the alternative in shutting down. Improving your commercial property will increase its value. In addition, when you buildout commercial property, you will need to meet less Americans with disability (ADA) compliance. This is because you do not need to add an elevator to improve accessibility. Elevators are expensive in installation and are a huge cost on an owner’s electrical bill. Building out is ultimately much more accessible process than building up. For instance, its easier to walk across the room than to walk up flight of stairs to get something. In addition to expanding your property, it creates more space for your employees, as well as customers. Even though there are many benefits to building out it is important for you to highlight their disadvantages.

What are the Disadvantages of Building Out?

Often, many business owners often to opt out of building out due to the disadvantages involved. First, they get caught up on the cost. The cost of the build out process is more expensive than building out. You must factor in the expense of expanding the foundation and roof space of the building. When owners and managers see the price, they often opt to build up. In addition, many businesses fear the disruption building out will have on their neighbors and their parking lot situation. Space is limited and building out may not even be an option for more businesses. For example, if there is no space to expand to out to, then you will have to buying property from your neighbor. Often, this is not a cheap thing to do, especially in urban areas. When building out, it is important to check local municipal codes due to restrictions on expanding your property. Some cities do not allow business to build out but rather build up due to space.

What are the Advantages of Building Up?

Many people find building up appealing due to its lower cost than building out. It is the cheaper alternative because it does not require the purchase of additional property or land. Especially if that property involves existing buildings that need to be demolished. Building up increase the value of your property. Adding an additional floor to a building can provide people with more quietness and privacy than building out. In addition, many people enjoy the sight seeing building up can offer.

What are the Disadvantages of Building Up?

There are several disadvantages of building up. First, building up can affect your bottom line. Build ups have a major impact on business operations and can cause a business to shut down or delay their operations. In addition, building up requires more ADA compliant upgrades and improvements such as the installation and maintenance of an elevator. Elevators and stairwells will take up space of your property as well. It is also to check municipal requirements for height restrictions. One cost an owner must consider is the cost of replacing the former ceiling and added new utilities to reach the new floor.

Summary of Whether to Build Out or Build Up

When deciding to whether to build out or build up your commercial property, it is best to do what is best for your business. There are advantages and disadvantages to building out and building up. Review your options with your team and evaluate the cost benefits of each approach. As well as analyzing what approach will maximize your business operations. For instance, look at your property’s land and your business. Is their enough space to build-out property and not affect parking situation? If you build up, can you afford the expense of partially or temporarily closing? The best decision is generally the most rational decision. However, you should also consider the appearance of your commercial property. Before planning your commercial construction build out or build up project, contact a contractor on the potential’s designs. In addition, they may be able to provide you with insights such as design build or remodeling options. It also provides you with the chance to ask a contractor any questions.