This article was written by our expert who is surveying the industry and constantly updating the business plan for a coworking space.
Understanding maintenance expenses is crucial for coworking space operators who need to budget accurately for operational success.
These expenses typically account for 12-18% of total operating costs and require careful planning to maintain member satisfaction while protecting your investment. Proper maintenance budgeting ensures your coworking space remains attractive, functional, and profitable.
If you want to dig deeper and learn more, you can download our business plan for a coworking space. Also, before launching, get all the profit, revenue, and cost breakdowns you need for complete clarity with our coworking space financial forecast.
Coworking space maintenance expenses require systematic budgeting across multiple categories to ensure operational efficiency and member satisfaction.
These costs typically represent 12-18% of total operating expenses, with utilities alone accounting for 15-30% of operational budgets.
| Expense Category | Annual Cost Range | Percentage of OpEx | Key Considerations |
|---|---|---|---|
| Cleaning & Janitorial | $9,000 - $12,000 | 5-8% | Daily cleaning essential for member satisfaction |
| HVAC Maintenance | $175 - $350 per system | 2-4% | Seasonal inspections prevent emergency costs |
| Utilities Combined | $12,000 - $30,000 | 15-30% | Electricity represents largest utility expense |
| Security & Fire Safety | $2,500 - $25,000 | 3-7% | Compliance requirements vary by location |
| IT Infrastructure | $2,000 - $8,000 | 5-12% | Critical for coworking space functionality |
| Furniture & Equipment | $1,000 - $5,000 | 3-7% | Plan 5-8 year replacement cycles |
| Emergency Reserves | 10-15% of total budget | Variable | Essential for unexpected major repairs |
What are the typical categories of maintenance expenses for a coworking space?
Coworking space maintenance expenses fall into eleven primary categories that require systematic budgeting for operational success.
The core categories include cleaning and janitorial services, waste management, HVAC servicing and repairs, plumbing inspections and maintenance, and utilities covering electricity, water, and internet infrastructure. Additional essential categories encompass elevator or lift maintenance with mandatory safety inspections, security systems and fire safety equipment checks, and landscaping with outdoor maintenance for shared buildings.
Technology infrastructure represents a critical category covering servers, networking equipment, and coworking management systems that require regular updates and maintenance. Furniture, fixtures, and shared equipment form another major expense category with planned replacement cycles typically spanning 5-8 years.
Emergency reserves constitute the final category, covering unforeseen major repairs such as roof leaks, structural issues, or water damage. Industry standards recommend allocating 10-15% of your total maintenance budget specifically for these unexpected expenses.
You'll find detailed market insights on expense categorization in our coworking space business plan, updated every quarter.
How much should be budgeted annually for cleaning, janitorial, and waste management services?
Annual budgets for cleaning and janitorial services in coworking spaces typically range from $9,000 to $12,000 for medium-sized facilities.
Monthly cleaning service costs average between $750 and $1,000, depending on space size, member density, and service frequency requirements. Professional cleaning services are essential for maintaining member satisfaction and should occur daily in high-traffic areas including common spaces, bathrooms, and kitchen facilities.
Industry benchmarks suggest allocating 5-8% of total operating expenses specifically to professional cleaning and maintenance services. This percentage accounts for both regular cleaning schedules and additional deep-cleaning services required periodically throughout the year.
Waste management costs vary significantly based on local service providers and waste volume, but typically represent an additional 10-15% of your cleaning budget. Consider implementing recycling programs and waste reduction strategies to minimize these ongoing expenses.
This is one of the strategies explained in our coworking space business plan.
What are the usual costs for HVAC servicing, including seasonal inspections and emergency repairs?
HVAC maintenance costs for coworking spaces range from $175 to $350 per system annually for routine servicing and inspections.
| Service Type | Cost Range | Frequency | Key Benefits |
|---|---|---|---|
| Seasonal Inspections | $150 - $300 per visit | Twice yearly | Prevents major breakdowns during peak usage |
| Filter Replacements | $50 - $150 per service | Quarterly | Maintains air quality and system efficiency |
| Duct Cleaning | $300 - $800 annually | Annually | Improves air quality and reduces allergens |
| Emergency Repairs | $200 - $1,500 per incident | As needed | Restores climate control quickly |
| System Tune-ups | $100 - $250 per system | Annually | Optimizes energy efficiency and performance |
| Thermostat Calibration | $75 - $200 per unit | Annually | Ensures accurate temperature control |
| Refrigerant Checks | $100 - $300 per system | Annually | Prevents system damage and efficiency loss |
How often should plumbing systems be inspected, and what are the average annual repair or replacement costs?
Plumbing systems in coworking spaces should undergo professional inspections 1-2 times per year to prevent costly emergency repairs.
Commercial plumbing inspection fees typically range from $127 to $314 per inspection session, making annual inspection costs approximately $250 to $600. These inspections cover water pressure testing, drain functionality, fixture conditions, and potential leak detection throughout the facility.
Annual repair and replacement budgets for coworking space plumbing commonly range from $500 to $2,000, depending on facility age, member usage intensity, and equipment quality. Older buildings or spaces with high member turnover may experience higher maintenance costs due to increased wear on fixtures and plumbing systems.
Common repair items include faucet replacements, toilet repairs, drain cleaning, and pipe leak fixes. Emergency plumbing calls typically cost 50-100% more than scheduled maintenance, making regular inspections a cost-effective preventive measure.
We cover this exact topic in the coworking space business plan.
What percentage of total operating expenses is commonly allocated to utilities such as electricity, water, and internet infrastructure upkeep?
Utilities typically account for 15-30% of total operating expenses in coworking spaces, making them one of the largest ongoing cost categories.
Electricity represents the largest utility expense, ranging from $500 to $1,500 monthly and accounting for 15-25% of operating expenses. This cost varies significantly based on space size, member density, equipment usage, and local utility rates.
Water costs typically range from $300 to $800 monthly, representing 3-8% of operating expenses. These costs depend on member count, kitchen facilities, bathroom usage, and any additional amenities like showers or water features.
Internet infrastructure costs range from $200 to $500 monthly, accounting for 5-10% of operating expenses. High-speed, reliable internet is essential for coworking space success and may require redundant connections or enterprise-grade service plans to ensure consistent connectivity for members.
Additional utility costs may include phone service, cable television, and specialized equipment power requirements that can add another 2-5% to total operating expenses.
What is the expected cost of maintaining elevators or lifts, including mandatory safety inspections?
Elevator maintenance and safety inspections typically cost between $2,500 and $8,000 annually per elevator unit in coworking spaces.
Maintenance contracts cover routine inspections, preventive maintenance, minor repairs, and emergency callback services. These contracts typically include monthly or quarterly inspections to ensure safe operation and compliance with local safety regulations.
Mandatory safety inspections and certifications represent 5-10% of total elevator maintenance expenses, with costs varying by jurisdiction and inspection frequency requirements. Some areas require monthly inspections while others mandate quarterly or semi-annual safety checks.
Emergency repair costs can significantly exceed routine maintenance expenses, making comprehensive maintenance contracts essential for budget predictability. Older elevator systems may require more frequent repairs and higher annual maintenance budgets.
Modern elevator monitoring systems can reduce emergency calls and extend equipment life, potentially lowering long-term maintenance costs despite higher initial technology investments.
How much should be set aside each year for building security systems, access controls, and fire safety equipment checks?
Annual budgets for security systems, access controls, and fire safety equipment range from $2,500 to $25,000 depending on facility size and regulatory requirements.
Fire safety equipment inspections including alarms, extinguishers, and sprinkler systems typically cost $2,500 to $22,500 annually based on property size and local compliance requirements. These inspections are mandatory in most jurisdictions and include testing, maintenance, and certification documentation.
Security system maintenance covering cameras, access control systems, and monitoring equipment typically ranges from $1,000 to $5,000 annually for medium-sized coworking spaces. More complex facilities with multiple entry points or advanced security features may require higher maintenance budgets.
Preventive maintenance programs can reduce total security and safety costs by 12-18% compared to reactive repair approaches. Regular maintenance prevents emergency failures that could compromise member safety or result in regulatory violations.
Access control systems require regular updates, card reader maintenance, and software licensing that should be included in annual budget planning for optimal security effectiveness.
What are the recurring costs for landscaping, outdoor maintenance, and parking area upkeep in shared buildings?
Landscaping and outdoor maintenance costs for coworking spaces range from $2,000 to $9,000 annually for small to medium commercial properties.
- Basic lawn care and maintenance services cost $800 to $1,600 monthly per acre, including mowing, edging, and basic plant care
- Comprehensive landscaping packages including fertilization, pest control, and seasonal plantings range from $1,500 to $3,000 monthly
- Snow removal and winter maintenance add $500 to $2,000 annually depending on climate and service requirements
- Parking area maintenance including sweeping, striping, and minor repairs costs $300 to $800 quarterly
- Tree trimming and major plant replacements require annual budgets of $500 to $2,000 for typical commercial properties
What technology or IT infrastructure maintenance costs should be anticipated, including servers, networking, and coworking management systems?
IT infrastructure maintenance costs for coworking spaces typically range from $2,000 to $8,000 annually, representing 5-12% of total operating expenses.
Server maintenance and monitoring costs average $500 to $2,000 annually, depending on whether you operate on-premises servers or use cloud-based solutions. Cloud services often provide more predictable monthly costs but may have higher long-term expenses for large operations.
Network equipment including routers, switches, access points, and security cameras requires annual maintenance budgets of $800 to $3,000. This includes equipment replacement, software updates, and professional configuration services to maintain optimal performance.
Coworking management software subscriptions typically cost $50 to $200 per month depending on features and member capacity. These systems manage bookings, billing, access control, and member communications, making them essential operational tools.
Professional IT support contracts range from $100 to $500 monthly and provide essential troubleshooting, security updates, and system optimization services that prevent costly downtime issues.
How should furniture, fixtures, and shared equipment replacement cycles be planned, and what is the average annual depreciation or repair expense?
Furniture and fixtures in coworking spaces should be planned for replacement cycles of 5-8 years with annual budgets of $1,000 to $5,000 for depreciation and repairs.
| Item Category | Replacement Cycle | Annual Budget Range | Key Considerations |
|---|---|---|---|
| Office Chairs | 5-7 years | $200 - $800 | High usage requires durable, ergonomic options |
| Desks and Tables | 7-10 years | $300 - $1,200 | Quality materials extend lifespan significantly |
| Lounge Furniture | 5-8 years | $400 - $1,500 | Fabric quality impacts replacement frequency |
| Kitchen Equipment | 3-5 years | $300 - $1,000 | Heavy usage accelerates wear and replacement |
| Technology Equipment | 3-4 years | $500 - $2,000 | Rapid obsolescence requires frequent updates |
| Lighting Fixtures | 8-12 years | $100 - $500 | LED options reduce long-term costs |
| Flooring and Carpets | 7-10 years | $200 - $1,000 | High-traffic areas require more frequent replacement |
What reserves should be allocated for unforeseen major repairs such as roof leaks, structural issues, or water damage?
Emergency reserves should account for 10-15% of your total annual maintenance budget to cover unforeseen major repairs in coworking spaces.
Roof repairs and replacements can cost $5,000 to $50,000 depending on building size and damage extent, making these among the most expensive emergency repairs. Regular roof inspections can identify potential issues before they become major problems.
Structural issues including foundation problems, wall repairs, or floor damage typically cost $2,000 to $25,000 depending on severity and building type. These repairs often require immediate attention to maintain member safety and building compliance.
Water damage from plumbing failures, roof leaks, or HVAC issues can cost $3,000 to $30,000 for repairs, cleanup, and equipment replacement. Quick response is essential to minimize damage extent and associated costs.
It's a key part of what we outline in the coworking space business plan.
What industry benchmarks or key performance indicators can be used to measure whether maintenance costs are efficient and competitive?
Total maintenance, cleaning, and repair costs should represent 12-18% of total operating expenditure for efficient coworking space operations.
- Cost per square foot: Maintenance expenses should average $2-5 per square foot annually for typical coworking spaces
- Cost per member: Annual maintenance costs should range from $200-500 per active member depending on space amenities
- Preventive vs. reactive maintenance ratio: Aim for 70% preventive and 30% reactive maintenance spending for optimal cost efficiency
- Utility cost per member: Monthly utility expenses should average $25-75 per active member based on usage patterns
- Equipment uptime percentage: Target 95%+ uptime for critical systems including HVAC, internet, and security systems
- Member satisfaction scores: Maintain 85%+ satisfaction ratings for cleanliness, comfort, and facility functionality
- Emergency repair frequency: Limit emergency repairs to less than 20% of total maintenance incidents through preventive programs
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.
Understanding maintenance expenses is essential for coworking space profitability and member satisfaction.
Proper budgeting across all maintenance categories ensures operational efficiency while protecting your investment in this competitive market.
Sources
- Business Plan Templates - Coworking Space Running Costs
- Dojo Business - Coworking Space Monthly Maintenance Expenses
- FinModels Lab - Coworking Rental Operating Costs
- Business Plan Templates - Elevator Maintenance Service
- Randall Landscaping - Commercial Landscape Maintenance Cost
- Angi - AC Service Cost
- OptixApp - Cost of Starting a Coworking Space
- Fire SP - Affordable Fire Safety and Security Solutions
