The cost of constructing a three-story commercial building with a basement is dependent upon location, design of the building, square footage of the building and the materials used in construction. Construction costs are calculated on a square foot basis.
Location is a major factor when it comes to the cost of construction per square foot. As of 2014, for example, it costs more than $215 per square foot to build commercial property in New York City, while in Kansas City it costs about $167 and in Dallas about $139.
Design also affects construction costs. Buildings with unique features or roof angles will cost more to construct than simple rectangular buildings. Finally, the price of the materials used is a key element in construction costs.