The cost to build an apartment complex in 2025 varies widely depending on factors such as building type, size, location, materials, labor, and amenities. Here are the key cost ranges and considerations:
Average Cost Ranges
- Low-rise buildings (1-3 stories): $150 to $240 per square foot
- Mid-rise buildings (4-7 stories): $185 to $270 per square foot, averaging around $310 nationally
- High-rise buildings (8+ stories): $235 to $450+ per square foot, potentially higher depending on luxury finishes and complexity
The total cost for an apartment complex can range from about $950,000 for a small duplex to over $100 million for a large luxury high-rise
Cost Per Unit and Total Project Cost
- Average cost per apartment unit ranges roughly from $65,000 to $280,000 depending on size and quality of finishes.
- For a typical 50-unit mid-rise complex, total costs often fall between $3.8 million and $30 million , with a national average around $11 million for a 5-story, 50-unit building
- Larger complexes scale accordingly: a 100-unit complex might cost $10 million to $35 million , and a 200-unit complex could range from $20 million to $70 million
Factors Influencing Cost
- Location: Urban land is more expensive; labor and materials costs vary regionally.
- Materials and finishes: High-quality or luxury materials raise costs but may reduce long-term maintenance.
- Design complexity: More floors, units, and custom features increase labor and material needs.
- Soft costs: Permits, architectural design, engineering, and legal fees add significantly to the budget.
- Finance costs: Interest and fees on construction loans impact total expenses.
- Market conditions: Inflation, supply chain disruptions, and labor shortages have driven costs up recently
Construction Timeline
- Ground-up apartment projects typically take 12 to 24 months , with potential delays due to labor shortages or regulatory issues
Summary Table of Typical Costs
Building Type| Cost per Sq Ft| Typical Total Cost (50 units)| Cost per Unit
---|---|---|---
Low-rise| $150 - $240| $3.8M - $12M| $65,000 - $86,000
Mid-rise| $185 - $310| $7.1M - $30M| $75,000 - $280,000
High-rise| $235 - $450+| $15M - $100M+| $100,000+
Building an apartment complex requires careful budgeting and planning due to these variable costs and market factors. Partnering with experienced architects, contractors, and financial advisors is essential for managing the complexity and achieving a successful project
