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Premise of the cost

This article will focus on the cost break down of luxury kitchen remodeling. I am focused on kitchens in a single family how-to-allocate-for-a-kitchen-remodel.pnghome within the city of Manhattan Beach, CA. Luxury kitchen remodeling costs can remain consistent in Hermosa Beach, CA and other premium neighborhoods if the scope of work requested by the homeowner is similar. Please note the construction cost is not linked to geographic area as it is linked to the similarities of job scope within different city limits. In other words, if all aspects of the job are similar, the kitchen remodel will cost the same in Manhattan Beach as it does in Hermosa Beach or other luxury, premium neighborhoods.

Factors affecting the cost

Seldom will you come across a contractor willing to discuss luxury kitchen remodeling costs without visually inspecting the space to be remodeled. This is with good reason, field conditions and client’s job requirements can greatly affect construction costs. Manhattan Beach California is a special place to live and work. Kitchen remodeling costs vary greatly by geographic regions. Labor rates, commercial rental rates and seasonality play a significant role in cost variations.  Manhattan Beach, California is a city with a high net worth median income. Consequently, residential housing market is some of the highest in the south bay. This is important to note because most kitchen remodels in Manhattan Beach cost $80k and above. Our historic data indicates a median kitchen remodeling price of $110k. Consider that this represents construction costs, not including appliances. Luxury kitchen remodeling cost are affected by the size of the space, reconfiguration of stove and sink location and the selection of finishes. Finishes represent the cost of plumbing, stone, cabinets, and flooring. These cost vary as a factor of their expense.   

Budget vs. Actual construction cost

Most people know what their budget is, however they lack the knowledge of what a project will cost. Friction often occurs when a client’s budget does not match the cost to build the project as designed. This is often results in irreconcilable differences. I recommend that clients design a project in tandem with their budget. This way, you design something you can actually afford to build. The article details how construction dollars are allocated by job components.

The paradigm for thinking about how to approach the project is working from you budget as the starting point. Many homeowners play coy about sharing their budget for various reasons. It ends up backfiring because if you begin designing without a target budget, you will end up with a proposed budget that is very high from the actual budget. It is better to formulate a job scope budget that is calculated as a percentage of the whole. In the diagram below, the cabinets represent 55% of the total construction costs (labor and materials). The countertops represent, 17% of the total construction costs (labor and materials). The pie chart details the percentage breakdown by job task.

 

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