Estimating Commercial HVAC Retrofit Costs

If you’re planning to retrofit your commercial HVAC system, you’ll want to know about costs. Prices can vary widely depending on several factors which we’ll talk about, but if you’re looking for a quick and easy estimate, the median cost usually falls between $10,000 and $50,000. However, this range can shift lower for small spaces or much higher for larger buildings. To help you better understand this calculation, we’ve put together a guide on what drives these costs and how to get a handle on your budget. So, let’s discuss how to estimate your commercial HVAC system retrofit cost.

Need a detailed quote specific to your project? Just give us a call. Our knowledgeable commercial HVAC technicians have the answers you need.

Commercial HVAC Retrofit Cost Factors

Many factors will determine the actual price of retrofitting and other commercial HVAC services. These are the major ones: 

• Building size: Larger spaces will naturally cost more to outfit with a new system.
• Building layout: If your building has multiple floors or complex spaces, it can complicate the installation, increasing costs.
• Building function and occupancy: Different uses require different types of HVAC systems, which can affect the price. For example, server rooms give off more heat and need to be kept cool at all times. Or rooms where lots of people work will naturally feel warmer.
• Indoor air quality requirements: Some buildings may require HVAC retrofits to include modern air purification technology. The need for this more sophisticated equipment will drive up your cost, but commercial air purification can reduce overhead over time.
• Energy efficiency and sustainability requirements: Again, more sophisticated equipment will cost more upfront. However, eco-friendly systems may save you money down the line.

Breaking Down the Costs of an HVAC Retrofit or Upgrade

While HVAC retrofits are big projects, you can think of the costs in three main categories:

• HVAC equipment: Heating and cooling equipment, thermostats, etc. The core of the retrofit, where costs vary based on the system’s capacity and sophistication.
• Materials: All the bits and pieces needed to get your new system up and running. Includes ductwork, wiring, and other necessary components for installation.
• Labor: Labor costs vary from company to company. You want to make sure you’re paying a reasonable labor rate while also getting excellent craftsmanship, so make sure you make the right choice. You’re paying for skilled technicians to do the job right — and that’s crucial for your system’s longevity and efficiency.

How Can You Save Money on Your Commercial HVAC Retrofit?

There’s no way around it – a commercial HVAC retrofit is a large-scale project – and if you’ve undertaken large-scale projects before, you understand the costs involved. The good news is there are a few things you can do to save money.

• Incentives and rebates: Government programs often offer rebates and incentives for energy-efficient systems. Make sure to explore your options before you embark on your project.
• Get multiple estimates: Don’t settle for the first quote; shop around to compare prices and services.
• Detailed estimates: Ask for a breakdown of costs so you know exactly what you’re paying for.
• Projects in multiple phases: We recommend getting your entire HVAC project completed in one fell swoop, but if some components are more critical than others, it may be a good idea to consider doing it in phases.

Do a Cost-Benefit Analysis of Your Commercial HVAC Upgrade Project

Don’t think of your HVAC retrofit simply as an expense. It’s actually an investment with numerous downstream benefits including:

• Increased efficiency: Newer systems use less energy, which means lower utility bills.
• Fewer repairs: A new system means you’re less likely to need costly repairs.
• Healthier building: Good air quality prevents health problems related to poor indoor environments. Sick building syndrome is a problem that’s estimated to cost American businesses between $50-100 billion annually. 
• Higher property value: An updated HVAC system can increase the value of your building.

Rough HVAC Retrofit Cost Estimates by Building Type

For your convenience, here are VERY rough estimates based on building types. For an accurate estimate on your project, call us.

• Two-pipe office buildings: $18 to $25 per square foot
• Four-pipe office buildings: $25 to $32 per square foot

Additional Features Worth Considering

This guide is designed to give you a rough estimate for a basic commercial HVAC system retrofit. You may also want to consider these features which can increase the immediate cost while also increasing long-term efficiency and savings:

• Advanced air cleaning equipment: Keeps the air clean and healthy, reducing costs associated with sick building syndrome.
• High-efficiency models: Costs more upfront but cuts energy bills in the long run.
• Zoning systems: Control temperatures in different areas to save energy and enhance comfort.

Get a Quote Today

Choosing the right team for your HVAC retrofit is key. We’re here to provide you with a precise, tailored estimate and top-notch service. Call us today to discuss your needs and find out why we’re the best choice for your HVAC project.