Dreaming of opening your next restaurant location without spending half a million dollars?
Traditional builds are slow and expensive. We’re talking upwards of $250-$500 per square foot. Plus months of permit delays, design woes, material cost increases, not to mention actual construction.
That’s the problem restaurant brands are up against:
Doing business like normal is just too expensive. Half a million dollars is extreme but not unheard of when paying for construction. That doesn’t even account for permits, site work, materials, equipment and the countless hours spent on delays!
Operators are searching for ways to open new locations faster and cheaper. Without sacrificing quality. And good ol’ traditional construction just isn’t cutting it.
Instead, restaurant brands are turning to prefabricated restaurant buildings.
What you’ll learn:
- Why Traditional Restaurant Construction Is So Painful
- The Biggest Benefits of Prefabricated Restaurant Buildings
- How Modular Stacks Up Against Traditional Builds
- Which Restaurant Brands Should Go Modular
Prefabricated restaurant buildings are the latest solution for restaurant brands hoping to streamline construction. Built off-site in a factory and shipped to location for assembly, these modular restaurant units allow companies to skip many of the headaches of traditional builds altogether.
And they’re quality too. Some would argue prefabricated buildings can be even higher quality than traditional builds.
Why Traditional Restaurant Construction Is So Painful
Traditional builds are slow. And during that time?
Your restaurant is collecting dust. Every month you spend constructing is money leaving your business with zero revenue to show for it. This is killing restaurant brands that need to scale quickly.
The problems don’t stop there:
Weather delays, cost fluctuations, material shortages, permit delays, faulty contractors… the list goes on. Traditional construction is prone to delays that neither you nor your brand can control.
Which means restaurants opening their doors can’t even guarantee their finished cost!
The Biggest Benefits of Prefabricated Restaurant Buildings
Prefabricated buildings offer businesses almost every advantage you could dream of. Here’s why restaurants are going modular.
Faster Time to Open
Opening your doors quicker means your business can start making money faster. Simple as that.
According to a McKinsey report, most prefab buildings can be assembled in 20-50% less time than a traditional build. A restaurant that may have taken 9 months to construct can potentially be open in as little as 4-5 months.
That’s less money spent on construction loans and financing. And that 4-5 months opens up your calendar for more construction projects too.
Multiply that by each restaurant location your brand opens and you’ll see why faster time to open is one of the biggest benefits of prefab construction.
More Accurate Cost Estimates
Who doesn’t love realistic, set-in-stone pricing?
Traditional builds often come with price bumps. Materials get more expensive halfway through construction. Unexpected problems crop up. etc.
Prefab buildings are different.
Their costs are very predictable because much of the work is done in a factory. Bulk materials are purchased at fixed prices. And work is performed by highly trained factory employees.
Prefab kitchens give you predictable pricing that rarely changes.
Higher Quality
Five years ago, the idea that factory-built restaurants would be more detailed than traditional builds seemed unlikely.
But it’s true!
Prefab constructions have allowed restaurants to skip many of the headaches that come with traditional builds. Materials aren’t left on-site in harsh weather conditions. Factory workers ensure there are no inconsistencies between contractors. Modules are built to the brand’s exact specifications.
Most components are built better in a factory.
Less Waste
Restaurant brands need to start thinking about sustainability. What the industry does today really impacts the world tomorrow.
The World Economic Forum reports that modular construction creates less waste than traditional builds.
Since modules are built in a factory, excess material can be recycled into future projects. And less wasted material means lower costs for your restaurant brand!
How Modular Stacks Up Against Traditional Builds
Here’s a rundown of how prefabricated buildings stack up against traditional builds:
- Speed — Prefab kitchens are 30-50% faster than traditional construction.
- Cost — Prefabricated restaurants have set-in-stone pricing. Traditional builds fluctuate often.
- Quality — Factory controlled quality vs. variable traditional conditions.
- Scalability — Modules can be replicated easily at each new location. Traditional construction starts from scratch.
- Flexibility — Modules can easily be moved to another location. Traditional buildings are more permanent.
Traditional construction will always be around. But prefab construction offers restaurant brands advantages they can’t ignore.
Which Restaurant Brands Should Go Modular?
This isn’t for every restaurant concept. But there are many situations where prefab construction makes the most sense.
Fast-Casual Restaurants and QSRs
Pizza joints, burger shops, coffee shops… if you’re in a rush to get multiple locations up and running. Prefab buildings are for you.
The ability to replicate your restaurant design at each new location allows your construction team to go mega-fast.
Also, spending less time constructing each restaurant means you’ll open more restaurants each year.
Pop-Up Concepts
Sure, you could build that food truck trailer the traditional way. But why would you when prefab trailers are so much faster?
Pop-up concepts can benefit hugely from prefab construction. Not only can they be relocated, but they can be shipped to where your brand needs them.
Expanding Into New Markets
Every brand will want to expand into a new market at one point or another. Prefab buildings allow you to test these markets quicker and cheaper.
If you don’t sell, you’ve only lost a fraction of what you would’ve spent on a traditional build.
Franchise Brands
When you’re a franchise, brand consistency is everything.
Your customers should expect the same storefront whether they’re in New York or Los Angeles. And with prefab buildings, that consistency is guaranteed. Since each module is built to your brand’s specifications in a factory.
Modular construction is perfect for restaurant brands that:
- Need to open quickly
- Plan on building multiple locations
- Want reliable cost estimates
- Expect the highest quality build
- Want to be more sustainable
Looking for modular kitchen costs? Check out our pricing page here.
Bringing It All Together
Restaurant brands can no longer build the traditional way. Sure, they’ll always have their place in the industry. But brands that hope to expand quicker and cheaper NEED to be looking into prefabricated restaurant buildings.
They allow restaurant brands to:
- Open new locations faster
- Spend less money on construction
- Skip unnecessary setbacks
- Improve sustainability
- And much more
The industry has only just begun to tap into the benefits of prefab restaurant kitchens. And the brands that take advantage of it now will shine brighter than their competition.
If you’re looking to dive into prefab construction for your next project, check out our services page.