Renting Kitchen Space

Business By MKC Updated 11 Mar 2011 , 5:46am by lovecakes52

MKC Posted 9 Mar 2011 , 9:31pm
post #1 of 12

We approached a church close to our home a couple weeks ago to rent their kitchen. They are really excited to have us rent their kitchen however, they are not sure how much to charge. They would like an estimate from us (most likely an hourly rate not a monthly rent).

Their kitchen is licensed however, it is a regular kitchen not a commercial kitchen.

We will not be using their equipment or ingredients. We will clean up after each visit. We will not use storage space. Basically, we are renting their kitchen because they are licensed and because the city restricts us from using our home kitchen.

I have seen commercial kitchen hourly rates vary between $20-40. But then you have access to their very expensive equipment, walking fridge/freezer and storage space. It's not the case here...and we wouldn't need a fully equipped commercial kitchen anyways.

Can you help us determine an hourly rate?

Thank you!

11 replies
AmysCakesNCandies Posted 9 Mar 2011 , 9:58pm
post #2 of 12

When I rented a commercial kitchen it was $25/ hr, but it was tricked out. I woiuld think $15- $20 might be fair, since its an incomplete space. Hopefully someone in your area might have a better idea about whats fair in Canada. Some things to consider- wil you carry your own liability insurance with the kitchen covered & will they need to have staff there while you are there- if so they would need to consider the cost of that person. Good Luck

jason_kraft Posted 9 Mar 2011 , 10:40pm
post #3 of 12

It sounds like you are probably the only prospective tenant, so I would start low. An opening offer of $10/hour would probably work, and I agree with Amy that $15-20/hour is a fair price.

You may want to consider also renting on-site storage space (even if you have to provide a storage cabinet yourself), hauling ingredients and equipment back and forth will get tiresome after a while.

MKC Posted 11 Mar 2011 , 3:21am
post #4 of 12

Thank you. This is very helpful.

jo3d33 Posted 11 Mar 2011 , 3:34am
post #5 of 12

I live in a very rual area. I pay 15 per hour, not to exceed 60 per use. I have to bring everything with me. I'm not allowed to use anything except their oven.

platinumlady Posted 11 Mar 2011 , 3:48am
post #6 of 12

The one I'm finishing up the paperwork for rents $25/hour....full shared kitchen (total of 5 kitchens) and $15/hour prep table only. And when cleaning (dishwasher area) free stops time. This place has everything included...including pans all kinds The only thing I will have to bring are my ingredients & of course cake boxes But all baking tools is already there cleaning tools including, towels, cleaning tools, janitorial service etc included

homebasedbaking Posted 11 Mar 2011 , 3:48am
post #7 of 12

I have worked with many kitchen incubators and shared use kitchens and you are correct it really depends on the service, equipment and extras being provided to the renter. I think you are right on the mark with $15 - $20 per hour, just make sure there is wiggle room, flexibility, so if you need to work a bit longer or if you don't use the full hour you are not short changed. For example if you finish at 4:10 p.m. instead of 5:00 p.m. you are not charged for the full hour, but perhaps the 1/2 hour or so. Because they are not a commercial establishment, they should be able to allow you to pay as close to the half hour as possible.
Congrats...this sound like a great opportunity.

Cindy619 Posted 11 Mar 2011 , 4:10am
post #8 of 12

I also pay $15/hour and use my own equipment. There is plenty of storage space though so I can keep my ingredients, equipment, etc all on site.

lovecakes52 Posted 11 Mar 2011 , 4:45am
post #9 of 12

I have a question. you all are so helpful, Thank You. When you rent do you just keep track of your hours that you use their space ? how does that work?

platinumlady Posted 11 Mar 2011 , 5:22am
post #10 of 12
Quote:
Originally Posted by lovecakes52

I have a question. you all are so helpful, Thank You. When you rent do you just keep track of your hours that you use their space ? how does that work?




Where I'm going you log hours online 1st...however long you'll think you'll need. Then if you use less you just let them know & same goes with more. It's pretty much on an honor system. & we are billed either weekly or bi-weekly depending on the amount of hours used

jason_kraft Posted 11 Mar 2011 , 5:36am
post #11 of 12
Quote:
Originally Posted by lovecakes52

I have a question. you all are so helpful, Thank You. When you rent do you just keep track of your hours that you use their space ? how does that work?



At the commercial kitchen we rent there are three separate kitchen workspaces (plus a prep area), and you can reserve time for each workspace on a whiteboard at the kitchen or by sending an email. Hours are usually billed to the tenant monthly, but we were able to negotiate a better deal by prepaying for the year up-front, our kitchen usage is deducted from the prepaid amount every month.

lovecakes52 Posted 11 Mar 2011 , 5:46am
post #12 of 12

Thank You so much I appreciate your answers. This helps me too!

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