Hospitality building construction costs for 2023

First impressions form fast. In the hospitality industry, which includes restaurants, hotels, and entertainment facilities, an initial good impression is critical and hinges on clean, fully functioning facilities and a friendly, competent staff.

Especially in a post-Covid society, providing clean and safe accommodations is paramount. Facilities managers and owners are now taking extra steps to ensure the highest cleanliness standards, including upgrading air filtration systems, installing no-touch technologies and contactless services, and reconfiguring spaces to promote social distancing. Additionally, automation is being implemented to combat labor shortages and improve overall efficiency. Improvements to meet green building expectations, anticipate guests’ needs with a more personalized experience, and ensure guests’ safety are paramount. RSMeans Data from Gordian can help estimate these costs.

With localized, square-foot costs for more than 100 building models including various hospitality industry facilities, RSMeans Data allows architects, engineers, and other preconstruction professionals to quickly and accurately create conceptual estimates for future builds.

This table shows the most recent costs per square foot for 15-story hotels, restaurants, fast food restaurants, and movie theaters in select cities.

Visit rsmeans.com/bdandc for more information about RSMeans Data from Gordian.

Location	Hotel, 8-24 Story	Restaurant	Restaurant (Green)	Fast Food Restaurant	Movie Theater
New Orleans, LA	$217.89	$238.14	$291.25	$251.92	$189.96
Miami, FL	$220.69	$241.20	$295.12	$257.03	$191.42
Phoenix, AR	$227.91	$250.51	$305.07	$265.07	$198.46
Washington D.C.	$246.63	$268.16	$325.45	$284.01	$211.49
Seattle, WA	$268.00	$295.66	$356.72	$311.43	$233.21
Las Vegas, NV	$266.81	$299.07	$361.88	$317.05	$235.67
Boston, MA	$287.44	$318.44	$384.41	$335.59	$253.43
Los Angeles, CA	$291.18	$322.67	$388.96	$341.45	$256.22
Chicago, IL	$294.87	$332.87	$400.50	$349.15	$264.10
New York, NY	$323.44	$362.35	$434.54	$380.55	$286.37

Please note: Square foot models are used for planning and budgeting and are not meant for detailed estimates.

In an exclusive interview for HorizonTV, Landmark Developers' President Frank Cretella talks about the firm's adaptive reuse projects for the hospitality sector. Cretella outlines his company's keys to success in hospitality development, including finding unique properties and creating memorable spaces.