Cost guide · updated August 2026
How much does a restaurant build-out cost in Toronto and the GTA?
Restaurant construction in the GTA in 2025–2026 runs from roughly $150 per square foot for a simple quick-service unit in second-generation space to $700 and beyond for fine dining built from a cold shell. That spread is not padding — it reflects real differences in ventilation, services and finish level, and knowing where your concept sits inside it is the difference between a workable budget and a stalled project.
The figures below are hard construction cost only: the contract you would sign with a builder. Kitchen equipment, furniture, signage, fees and HST sit on top — the exclusions list further down keeps that honest.
The ranges
2026 construction cost by concept
| Concept | Construction / sq ft | Construction weeks | Notes |
|---|---|---|---|
| Quick-service restaurant | $150 – $350 | 6 – 10 | Counter service, compact kitchen, simpler seating |
| Casual dining | $250 – $500 | 8 – 14 | Full kitchen and bar, table service, designed dining room |
| Fine dining | $350 – $700 | 12 – 20 | Premium finishes and millwork, show kitchen, acoustic design |
| Bar / lounge | $250 – $500 | 8 – 14 | Bar millwork and draft systems carry the budget |
Hard construction cost, CAD, 2025–2026 GTA benchmarks. ±30% until a site review produces a written scope. Permit timing and approvals remain subject to municipal review.
What moves the number
Five drivers decide where you land in the range.
- 01
The unit you lease
A second-generation restaurant space with a usable hood shaft, grease interceptor and adequate electrical service can cut 15–25% from construction. A cold shell adds base-building services and can add 25% or more. This one decision — made before any builder is hired — moves the budget more than any finish selection.
- 02
Kitchen ventilation
A Type I hood with rated ductwork to the roof, make-up air and fire suppression is routinely a $60,000–$150,000 package depending on run length and roof work. Charcoal and solid-fuel cooking sit above that.
- 03
Underground plumbing
Grease interceptor, floor drains and kitchen plumbing often mean saw-cutting and trenching the slab. In units without existing restaurant plumbing this is commonly a $30,000–$80,000 line.
- 04
Electrical service
Modern kitchens frequently need a 400A service. If the unit has 200A, the upgrade needs the landlord, the utility and lead time — a cost and schedule item worth confirming before the lease is signed.
- 05
Finish level
Dining-room millwork, feature ceilings, lighting and washroom finishes are where casual and fine dining part ways. This is the driver you control most directly.
Worked example
Worked example — 2,200 sq ft casual dining, second-generation space
- Effective construction rate (second-gen factor applied)
- $200 – $400 / sq ft
- Construction range
- $440,000 – $880,000
- Mid-point for planning
- ≈ $660,000
- Typical construction duration
- 8 – 14 weeks
- Lease to opening, with permits and equipment lead times
- 14 – 18 weeks
A ±30% range is honest at this stage — a site review narrows it to a written scope and price. Where a project lands inside the range is decided mostly by the condition of the unit and the finish level of the dining room.
Kept honest
What these figures exclude.
Mixing construction cost with everything else is how budgets go wrong. Carry these as their own lines:
- Kitchen equipment package (typically $100,000–$350,000, dealer-supplied)
- Design, engineering and permit fees (typically 8–15% of construction on these project sizes)
- Municipal permit and development charges
- Furniture, shelving stock, décor and small wares
- Signage fabrication and installation
- Security, IT, point-of-sale and audio systems
- HST
- Contingency — we recommend carrying 10–15% on second-generation space and 15–20% on cold shell
Your numbers
Run the range for your project.
Same benchmark table as this guide — by project type, size, unit condition and location. A site review refines it to a written scope and price.
Questions
Asked on nearly every project.
- Why do restaurant quotes vary so much between contractors?
- Usually scope, not margin. One quote includes the hood package, interceptor and electrical upgrade; another assumes the landlord or the tenant handles them. Compare quotes line by line against the same written scope — or have the scope written first and priced by trades against it, which is how we work.
- What should I check before signing a restaurant lease?
- The five items that most often change a budget: grease interceptor (exists, sized, serviceable), electrical service capacity, roof space and structural allowance for make-up air, HVAC capacity, and exactly what the landlord's work letter includes. We walk spaces with clients before signing for this reason.
- Is it cheaper to take over an existing restaurant?
- Often, materially — if the hood, interceptor and services are genuinely reusable. The risk is inheriting failed or non-compliant infrastructure that costs more to fix than to build new. A pre-lease site walk with contractor eyes tells you which case you are looking at.
- How accurate is a per-square-foot estimate?
- Good enough to test a business plan, not good enough to sign a construction contract. Treat it as ±30% until a site review and design produce a written scope; every number on this page is meant for the first conversation, not the last one.
More guides: all cost guides.
Ready for a real number?