When the need for more space arises, there are generally three options that a company can pursue.
As a supplier of warehouse mezzanines, we would like to say that a mezzanine makes sense for every situation. That might not always be the case, but it can often be the most sensible option. Even in cases where it makes sense to construct a new building, including a warehouse mezzanine system proves to be beneficial for many reasons.
When you are building a new facility, one of the primary questions is, “How much space will I need?” Let’s say, for example, your answer is 150,000 square feet. The next hurdle is how you are going to get that 150,000 square feet of space. Does it make sense just to build a brand new 150,000 square foot warehouse just to accomplish that goal? By including a mezzanine in your design, you can reduce your overall building plans in size while still getting your desired amount of storage space. In this scenario, you could build a 30,000 square foot mezzanine and reduce your required building size to 120,000 square feet.
You now have 30,000 square feet less of building costs. Less concrete, fewer wall panels, less overall building materials. New construction prices will vary depending upon your location, but around $100 per square foot is the US median. Mezzanine building materials of that size would be about $25 per square foot (depending on particular design criteria). In this scenario, you would save roughly $2,250,000 while still achieving your goal of 150,000 square feet of space.
We will optimize your space and cut your costs.
By reducing the footprint of your building, you also reduce the amount of overall land that is needed. This leads to a drop in costs for things like excavating, architecture/engineering, and more. This will also have a positive effect on environmental considerations.
When considering building a smaller facility with a warehouse mezzanine, it is helpful to look at the costs of both the initial building as well as operational costs associated with that building. By decreasing your operational costs, you will increase cash flow. This will give your company the opportunity to purchase more needed equipment, purchase higher amounts of inventory to receive better pricing, or simply to have more resources on hand when needed.
These reduced costs are monthly, that means it is like another revenue stream that hits your bank account each month. Items such as heating and air conditioning, insurance, lighting, and taxes are all potential operational cost savings you can have by using a warehouse mezzanine.
Since warehouse mezzanines are considered capital equipment, they can be depreciated over seven years. Buildings are typically depreciated over 39 years. This is a significant tax advantage to getting a mezzanine system along with your new warehouse. You might be thinking all of this sounds great, but how do I build a new mezzanine?
With Mezzanine Distributors, you don’t need to worry about mezzanine building codes or the labor of installation. Our expertise and installation crews are all included in our services. Essentially, the question you need to ask yourself is “How much money can I save by building a smaller warehouse while still achieving the same amount of overall space?” You can take into account the costs for a new mezzanine, but even that will be a fraction of the price for the same square footage of a new facility.