September 16, 2024
2
Minutes

How Much Does it Cost to Rent a Commercial Kitchen?

Renting a Commercial Kitchen, Average UK Costs

On average, you can expect to pay between £1,200 - £2,500 in the UK. Naturally, the cost of renting a commercial kitchen can vary significantly depending on your location, the size of the space, the type of kitchen, and the specific amenities offered.

In urban areas like London, prices tend to be higher, our kitchen marketplace (at the time of writing) has London-based kitchens listed between £1,000 - £4,500. As a rule of thumb, the greater the space and equipment list, the higher the cost.

Typical Costs by Year, Month, and Week

To give you a better understanding of the costs, let’s break it down into weekly, monthly, and yearly estimates.

  • Cost of renting a kitchen by day: A full day (typically 8-12 hours) can cost between £150 to £400.
  • Cost of renting a kitchen by week: For weekly rentals, expect to pay between £200 to £1,500, depending on the kitchen’s location, size, and features.
  • Cost of renting a kitchen by month: Monthly rentals can range from £1,000 to £4,500. Long-term agreements may allow for the negotiation of lower rates.
  • Cost of renting a kitchen by year: If you’re planning on long-term usage, the annual cost could range from £12,000 to £40,000 or more. However, some kitchen providers may offer discounts for yearly contracts, especially if you’re renting during off-peak hours or for non-standard usage.

What factors can influence the cost?

Several factors can influence the cost of renting a commercial kitchen:

  1. Location: Urban centres, especially larger cities like London, Manchester, or Birmingham, tend to have higher rental costs compared to smaller towns and rural areas. For larger cities, the area of the city can influence rent. For example, renting a kitchen in Central London will have different average rates than in the outskirts.
  1. Size of the Kitchen: The larger the space, the higher the price. Commercial kitchens come in various sizes, from small prep kitchens to large industrial units designed for mass production.
  1. Equipment and Facilities: Some kitchens are fully equipped with ovens, fryers, fridges, and specialist equipment, while others may require you to bring your own. A well-equipped kitchen will generally cost more to rent.
  1. Access and Availability: Kitchens that offer 24/7 access or flexible hours to accommodate late-night or early-morning operations tend to have higher rates. Similarly, if the kitchen has designated areas for deliveries, loading docks, or easy access for large vehicles, the convenience can come with a premium. 
  1. Special Requirements: If you need specific features, such as cold storage, allergen-free areas, or large preparation areas, this can increase the cost.

Outside of the Cost to Rent, What Other Costs Should You Be Aware Of?

It’s important to build your understanding of the various costs included when renting a kitchen space. Additional expenses can quickly add up, including:

  1. Insurance: Public liability insurance and product liability insurance are sometimes required when using larger commercial kitchen spaces. You may also need contents insurance if you’re bringing your own equipment. However, this is all dependent on the site and the type of kitchen you are looking for.
  1. Cleaning Fees: Some kitchens include cleaning in the rental cost, while others charge an additional fee or expect you to handle it yourself. Deep cleaning may be required after certain activities, like working with allergens or raw meats.
  1. Deposits: Many kitchen spaces require a security deposit, especially for long-term rentals. This deposit may cover any potential damages or losses incurred during your tenancy. The deposit is usually the sum of 1-2 months' rent.
  1. Utility Bills: Depending on your rental agreement, you may be responsible for utilities like electricity, gas, and water. Some kitchens factor this into the cost of the venue, while others separate it.
  1. Storage Fees: If you need to store ingredients or products overnight or over a longer period, you may incur extra charges for cold storage or dry storage facilities.

Trust in foundations, focus on growth

Running a kitchen is more than simply cooking great dishes. It’s pre-planning, exploring ideas, marketing your business, staying on top of deliveries, monitoring stock levels, hiring staff, juggling payroll, and more.

It’s important to ensure that you invest your time and money into a kitchen location that suits your operations and that you can trust. The peace of mind provided by a stable, reliable venue enables you to focus on what matters most: your food!