Steps and Cost of a New Church Build
A breakdown of the steps and costs to be expected in a new church build.
Considering the Cost
At times church leaders consider the cost of a new location to be limited to the land and the building. However in a typical new church build, the land and building account for about 70-75% of the total expenses of a new church location. Listed are the associated steps and costs to be expected in a new build. Some of the steps and costs may be eliminated; however, there is a varying amount of risk with the elimination of any one of these.
Project Fee Schedule
Property Cost and Land Development
Land purchase cost (Not Included in Project Cost)
The land purchase prices can vary greatly based on the site location, characteristics, and size.
Entitlement Fees (1% of project cost or less)
Entitlement work is generally completed by an attorney, architect, and/or engineer. This investigative work should include the testing listed below, including possible legal issues that may affect the property’s planned use.
Proper Zoning for the Intended Use (legal)
Flood Zone Research (legal)
Phase 1 Environmental Site Assessment (testing)
If the Phase 1 assessment identifies a potential hazard or condition, a Phase 2 ESA may be necessary.A2 Property Survey & Topo (testing)
Geotech Soils Report (testing)
Land Development (10-15%)
The land development cost is determined based on site characteristics. Site costs can run from relatively low to extremely high as every site has a different set of site characteristics. Below is a short list of issues that may escalate development cost. Typically one of these factors won’t create a bad purchase situation. However, when multiple factors exist cost can mount quickly and may limit efficient development.
Site Development Issues to be Aware
Extreme Slope
The site may have an extreme slope and must be leveled for construction. This process can take weeks or even months to properly level the site for construction.
Soil Conditions
Sites with soils that contain a high content of clay may require specialized building foundations. Sloping sites with rocky conditions can limit the amount of grading before costly excavation methods are required.
Streams / Waterways
Occasionally a site may have a stream or waterway to be bridged which can come under the jurisdiction of the US Army Corp of Engineers, likely involving lengthy delays and additional expenses.
Municipal Infrastructure
Some properties come with associated municipal or planned development infrastructure costs. This could include items such as roadway, sewer, or water line extensions, to list a few.
Utilities
The location of utilities can be a major expense factor and all utilities should be located during the A2 survey.
Fire Sprinkler Systems
Most church facilities will require a fire sprinkler system which has adequate pressure and flow rate. Many rural water systems cannot support this and the church must therefore provide a fire water supply storage and pumping system on-site.
Professional Services & Fees (9-12%)
Professional Consultants
The professional fees for the design team listed below are normally contracted directly between the church and the architect, with the exception of site design fees which are typically contracted directly between the church and civil engineer. The architect has responsibility for the coordination of all professional design team disciplines, including those retained directly by the church.
Architect / Design Team Manager
Interior Designer
Structural Engineering
Mechanical, Electrical, and Plumbing (MEP) Engineering
Site Design
Civil Engineer
Landscape Architect
Building Construction (70-75%)
The building construction cost is determined by the building square footage & height, construction type, products & equipment specified, complexity of the architectural design, sub-contractor availability, and geographic location.
Furniture, Fixtures, and Equipment + Other Soft Costs (10-12%)
Listed are areas of specialty building construction that are better contracted directly by the church/owner with construction installation being supervised by the general contractor, and other soft costs that are part of most projects:
Audio/Video & Lighting
Security Systems
I.T. Systems (including WiFi networks, etc.)
Fixtures, Furnishings, & Equipment
Children’s Theming Costs
Liability Insurance
Other Soft Cost (marketing/opening expenses)
Sample Church Project
The proceeding sample is an actual completed construction project from 2018 located in the Dallas, TX area. The subject site is approximately 100 acres with excellent highway frontage and 400+ parking spaces. The subject building is 44,130 square feet.
