Estimating the Cost of Your Next Commercial Demolition

Feb 27, 2024

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Written by: Alpine Demolition

a yellow excavator performing a commercial demolition project.

Have you just taken ownership of a property and do you have your eyes set on redeveloping it? Is your current building in need of significant upgrades, making it easier to demolish and build new than restore as-is? Does your current property pose a health and safety hazard?


Regardless of either of the scenarios mentioned above, you're likely to have to demolish an existing property before it can be redeveloped - which can add to the total cost of the redevelopment. The average commercial property demolition these days is roughly $4 to $8 per square foot. While this may seem like a reasonable price point, various other factors must also be taken into consideration when determining the cost of a demo project. And it's largely these other factors that we'll discuss that can lead to ballooning costs on a project or keep a project at a reasonable amount. Whatever the case, these factors are important to consider.


In this post, we'll cover everything you need to know when estimating the cost of your next commercial demolition project. Read on to learn the various factors that must be taken into consideration - from the obvious to the intangibles:



Calculating Square Footage

Square footage is one of the biggest considerations when estimating a demolition project. So how do you calculate the square footage? Think back to your high school math class: it's as simple as multiplying the width by the length of the property.


Calculating square footage can be a little more complicated if you're not working with a perfect square or rectangle though. To accurately calculate the square footage of such a building, it's best to break it down by room and add it all up, or break the property down into more simple shapes to determine the total square footage.



Average Cost Per Square Foot

As we said above, it's estimated that commercial demolition costs anywhere from $4 to $8 per square foot. Based on a $5,000 square-foot building, you're looking at a price range from $20,000 on the low end to $40,000 on the high end. But this number can also fluctuate based on the other items that we'll cover throughout this list. While an important factor, it's not just square footage that matters when it comes to estimating a demolition project.



Navigating Permits, Licenses, & Other Policies

You can't just calculate the square footage and raze a commercial property - there's a lot of due process that must take place first. We're talking about permits, licenses, and more. The typical demolition permit can range anywhere from $200 to $1,000 depending on where the building is located. Aside from acquiring the proper permits, various other steps need to be done before the project can begin. For instance, utilities going into the site must be shut off. You may also have to give surrounding properties advanced notice of when work will be taking place.

a construction worker is sitting at a table reading over a permit.

EPA & Asbestos Removal Fees

If there's asbestos in the property, proper remediation is necessary before demolition can begin. Asbestos is a mineral that was used in many building materials (i.e., piping, floor tiles, ceiling tiles, insulation, etc.) before the 1980s. When left undisturbed, asbestos isn't a threat. But when asbestos-containing materials are disturbed and the fibers are released into the air, they can be inhaled, embedded into the lungs, and lead to significant long-term health issues like mesothelioma and lung cancer. Demolition practices can disturb any asbestos-containing materials and cause the fibers to be released into the air. That's why it's so important to ensure that proper asbestos abatement work has been carried out prior to demolition work beginning.


It costs anywhere from $2 to $3 per square foot to remove asbestos, which can add to the total cost of the project if an inspection determines that asbestos-containing building materials are on site. Just be sure that you have a written asbestos assessment from a qualified inspector before you move forward with any project.



Landfill, Hauling, & Recycling Cost Breakdown

an excavator is demolishing a building and dumping the rubble into a dump truck .

Once you knock the building down, how are you getting the construction debris off-site? It's another component that must be considered when estimating the cost of your next commercial demolition project. It's also a cost component that can vary based on the type of debris that you're hauling off-site, any materials that are going to be recycled, and the supplies and equipment that are necessary to get the job done. For example, in addition to using dumpsters and dump trucks to bring construction debris to landfills, there are also often landfill disposal fees that must be rolled into the total cost of the demolition project.

Additionally, it's important to know whether the demolition contractor is going to handle debris removal or if they're contracting with another entity to handle it. This is another factor that can impact total cost. At Alpine Demolition, we specialize in concrete crushing, which can help conserve demolition costs. We'll crush concrete on site to be reused as backfill for roads, parking lots, driveways, and more. It's good for the environment, helps conserve landfill disposal fees, and can also deliver further savings to clients. Contact Alpine Demolition to learn more about our concrete crushing services.



Contact Alpine Demolition Today

For more information on estimating the cost of your next commercial demolition, contact Alpine Demolition today. As a qualified, credible demolition contractor, we pride ourselves on operating with integrity and transparency in everything that we do. With every estimate, we'll provide a detailed written assessment so you can see exactly where the costs are coming from. We have more than 2,000 successful demolition projects to our name, a better-than-average EMR, and an industry-leading 95 percent customer satisfaction rating to boot.

Contact us today to learn more about commercial demolition estimates and to begin working with us on your next demolition project.

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