Factory Construction Cost Per Square Foot

by | Jul 15, 2022

Reading Time: 3 minutes


Factory Construction should be planned in-depth- detailed activity, material & manpower so that we can avoid haphazard construction. Thus it is advisable to consult experts for the overall planning & construction of any and all kinds of factories. Limpid Construction offers turnkey construction services right from requirements gathering, to project planning and project execution. 

Factories are built for many purposes that can be as follows:

  • Factory Shed- Purely for warehouse purposes, stacking materials
  • Factory administrative building- For office purposes
  • Factory premises- Building for day-to-day operational works

RCC construction or Pre-Engineered building (PEB)
In this blog, we will talk about PEB & RCC construction work costs & few pros & cons of RCC construction & PEB. 

Pre-Engineered Buildings or commonly known as PEB have caught the trend. So what is PEB?

  • In PEB structures the foundations of the building are made of RCC with either conventional isolated & combined footings or rafts as dictated by soil type, bearing capacity, etc. 
  • Over these foundations, Built-up sections consisting of Mild Steel Columns & Rafters- The Main Frame, & Purlins- Secondary components are erected. These Built-up sections can range to various lengths & heights as per requirements on the site. One of the many features of these components is that they can be tapered, unlike concrete elements. So the width changes as per structural requirement- saving the cost of steel.
  • These built-up sections are made of steel that is procured from standard companies such as Tata Steel, JSW, etc as per the client’s requirement. Over these elements, it is important to apply red oxide & enamel paint and that should be typically the scope of the fabricator. 
  • Special care needs to be placed on the welding connections by the fabricator.
  • All the above processes are generally executed in the factory/workshop of the fabricator & after it is complete, these components are transported to the site where they are placed & assembled as per the drawing designs.
  • Once the built-up sections are assembled at the site, next comes the roofing & sheeting for the ceiling & walls. For roofing, sheeting, & insulation, galvanized profile sheet is used.

Advantages of PEB construction- Read here in detail

  • The biggest advantage of PEB structure is that it is fast. Since all of the components are fabricated in factories, the overall construction time period can be shortened significantly
  • Low dependency on workers hence, construction time is reduced
  • Bigger spans- Span length & width can be adjusted as per requirement on site
  • A single vendor supporting all the activities means that high degree of ownership
  • No water required for construction on site
  • All components are re-usable & have a very high salvage value

Disadvantages of PEB construction

  • Maintenance of structure is crucial since steel is prone to rust
  • Steel is a good conductor of both heat and electricity & hence the absence of adequate ventilation can lead to the inside of the structure getting heated up very quickly
  • Low availability of skilled contractors in the market
  • Despite all its benefits- PEB construction is expensive

Typically the cost of Factory construction if done using PEB can range from Rs 1000/SFT to Rs 1500/SFT depending on the construction area, designs, use of materials, etc.

Factory construction using RCC
Although PEB has a lot of benefits over traditional RCC works, it still falls short of RCC. The primary reasons being its cost & lack of skilled contractors who can execute the works.

So, how expensive or cheap is RCC factory construction? Well, there is a range- from Rs 750/SFT to Rs 1200/SFT. This range must make you wonder, how the cost of construction is so less in comparison to the cost of constructing your home (You can find links to the blogs here & here?). The answer is Finishes.

Factories generally can make do without many partition walls(that means less bricks, cement, sand, etc.), multiple bathrooms- that leads to less expensive plumbing works, provision for many electrical points, flooring works, fancy doors & windows, etc. Hence, factory construction cost using RCC is so economical.

Now, let’s go through the advantages & disadvantages:

  • Economical than PEB
  • Ample skilled contractors are available to execute works
  • Low maintenance


  • More time taking than PEB construction
  • Permanent in nature, cannot be shifted once built
  • Raw materials can be re-used but only some of it


Author- Sarbojit Dutta

Civil Constructions, Home Interiors & Renovations!

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