Office Relocation Total Cost & Downtime Loss Calculator

Combine itemised move, fit-out, furniture, IT, occupancy overlap, continuity, downtime, and lease-deposit cash flow into economic cost, peak funding, and a stress case.

Quick illustrative scenarios

These values are not market averages or recommended quotes. Replace every field with lease terms, real vendor quotes, the cutover plan, and management accounts.

1. Scale and direct one-time cost

Avoid duplicate scope and separate moving, works, furniture, IT, and professional services exactly as quoted.

㎡
people
KRW
KRW
KRW
KRW
KRW
KRW
%

Applied to the direct-cost subtotal

2. Occupancy overlap and continuity

Enter only the extra early-access and delayed-exit days, not the full ordinary occupancy period.

KRW/month
days
KRW/month
days
KRW
KRW

3. Deposits and bridge funding

Keep refundable deposit principal outside economic cost; treat expected deductions and refund-delay funding as cost.

KRW
KRW
KRW

Do not duplicate directly paid reinstatement

days
%/year

Bridge rate or opportunity cost

4. Business downtime loss

Compare all three methods, but include only one in total cost. Do not double count the same disruption through both contribution margin and labour.

Method included in total cost
days
days
%
KRW/day
%

Exclude variable cost avoided during downtime

hours
KRW/hour
KRW/day
KRW

Use zero if already included in the selected method

5. Stress case and recovery target

Stress uncovered cost overrun, extra closure, and extra overlap beyond the base plan.

%
days
days
months

1 to 600 months

Economic relocation cost

KRW 164,598,630

Contribution margin method · refundable new-deposit principal excluded

Peak cash need

KRW 359,598,630

Stress economic cost

KRW 185,528,493

Funding and recovery metrics

Net cash use after old-deposit refund

KRW 214,598,630

Required monthly benefit

KRW 6,858,276

To recover over 24 months

Economic cost per person

KRW 4,114,966

Economic cost per m²

KRW 329,197

Economic cost composition

Direct one-time costKRW 113,300,000
Occupancy and continuityKRW 27,383,562
Selected downtime lossKRW 18,200,000
Old-deposit deductionsKRW 5,000,000
Deposit bridge financeKRW 715,068

Downtime method comparison

3 effective lost days · only the selected method is included

Contribution margin · selectedKRW 16,200,000
Labour productivityKRW 43,200,000
Manual daily lossKRW 24,000,000

Deposit bridge

Expected old-deposit refund
KRW 145,000,000
Bridge principal
KRW 145,000,000
Refund-delay finance cost
KRW 715,068
Deposit balance change
KRW 50,000,000

Base and stress scenarios

The stress case adds overrun not covered by contingency, extra full closure, new-site overlap, and the longer deposit bridge.

Comparison of base and stress office-relocation economic cost, peak cash need, and required monthly benefit
MetricBaseStress
Economic relocation costKRW 164,598,630KRW 185,528,493
Peak cash need before refundKRW 359,598,630KRW 380,528,493
Required monthly benefitKRW 6,858,276KRW 7,730,354

The stress increase is KRW 20,929,863, including KRW 10,300,000 of direct-cost overrun not absorbed by contingency.

Before using the result

Sources were checked 2026-07-31. VAT, tax, lease accounting, and deposit disputes are outside scope, and peak cash need is a conservative single-point estimate without payment scheduling.

Related calculators

An office move costs more than the mover quote

A packing and transport quote is only one part of an office relocation budget. Fit-out and reinstatement, furniture, network and telecom cutover, administration, early access to the new site, delayed exit from the old site, temporary workspace, and operational disruption can all create additional cash needs. The timing of these items also matters because the new lease deposit may be due before the old deposit is returned.

This calculator separates non-refundable economic cost from refundable deposit principal and from the peak cash needed before the old deposit refund arrives. It also compares contribution-margin loss, labour-productivity loss, and a manual daily loss value. Only one method enters total cost, which helps avoid counting the same disruption twice.

Read the result as three different numbers

  • Economic relocation cost: non-refundable spend, downtime, old-deposit deductions, and bridge finance
  • Peak cash need: economic outflows plus refundable new-deposit principal before the old refund
  • Net cash use after refund: the remaining cash use after the expected old-deposit refund arrives

Cost boundary: what is included and excluded

Included in economic cost

  • Packing, transport, storage, insurance, and specialist handling
  • New-site fit-out and directly paid old-site reinstatement
  • Furniture, workplace equipment, IT, telecom, and professional services
  • Early access, delayed exit, temporary workspace, and continuity measures
  • One selected downtime-loss method plus separate customer compensation
  • Expected old-deposit deductions and refund-delay finance cost

Not calculated automatically

  • Refundable new-deposit principal as an economic expense
  • VAT recovery, depreciation, and corporate-tax effects
  • Lease accounting, financing approval, or covenant effects
  • Legal liability for termination, reinstatement, or deposit disputes
  • Statutory employee, customer, insurance, or damages amounts
  • Market-average relocation prices by city, building, or industry

Use one consistent VAT and currency basis across every input. The model does not add a statutory rate, so compare supply values with supply values or cash-inclusive quotes with cash-inclusive quotes. Do not enter the same reinstatement item both as a directly paid project cost and as an expected old-deposit deduction.

Documents to collect before entering values

Office relocation input groups, supporting records, and double-counting controls
Input groupPrimary recordsControl
Direct project costMover, contractor, furniture, telecom quotes, and the asset registerNormalise removal, disposal, night work, testing, storage, and insurance scope
Occupancy overlapBoth leases, rent-free terms, service-charge start dates, and exit datesEnter only extra early-access and post-move exit days
DepositsPayment, refund, deduction, and reinstatement clausesKeep refundable principal separate from cost and funding friction
Downtime lossNormal-day revenue, variable cost, headcount, loaded labour cost, and the cutover planChoose one loss method for total cost instead of adding all three
Stress casePast change orders, schedule buffer, and essential-service recovery plansDo not add overrun already absorbed by the base contingency

How the formulas work

1. Direct cost and contingency

Direct-cost subtotal equals moving and packing, fit-out and reinstatement, furniture and equipment, IT and telecom, professional and administrative services, and other one-time cost. Planning contingency equals this subtotal multiplied by the contingency rate. Confirmed scope belongs in an itemised field; contingency is for remaining quantity and scope uncertainty.

2. Incremental occupancy cost

The daily convention is 365 ÷ 12, or about 30.4167 days per month. New-site early-access cost equals new monthly occupancy cost multiplied by early-access days and divided by that monthly-day convention. Old-site delayed-exit cost uses the same formula. Adjust the input if the lease uses a different calendar-day or contractual proration rule.

3. Effective lost days

Effective lost days equal full-closure days plus reduced-productivity days multiplied by the productivity-loss rate. A move with 1.5 full-closure days and five reduced days at 30% therefore produces 1.5 + 5 × 0.30 = 3 effective lost days. Reduced days may capture unresolved access, network, room, equipment, or orientation issues after the physical move.

4. Three downtime-loss methods

  • Contribution margin: daily revenue × contribution-margin rate × effective lost days
  • Labour productivity: people × loaded hourly labour cost × work hours per day × effective lost days
  • Manual method: company-defined daily loss × effective lost days

Contribution margin is more useful than total revenue because variable cost avoided during shutdown is not an economic loss. Labour productivity can suit headquarters and support teams with weak revenue linkage. A manual value can reflect a contract, project milestone, or another documented measure. The screen shows all three, but the economic total uses one selected method plus separately entered customer compensation.

5. Deposit bridge

Expected old-deposit refund equals the old deposit minus expected deductions. Bridge principal is the lower of the new deposit and that expected refund. Bridge finance cost equals principal × annual funding rate × refund-delay days ÷ 365. Refundable new-deposit principal stays outside economic cost but remains inside peak cash need before refund.

Step-by-step workflow

  1. Set a consistent boundary. Choose one area definition and one VAT and currency basis for all quotations.
  2. Transfer itemised quotes. Separate moving, works, furniture, IT, and professional services, then reserve contingency only for uncertainty.
  3. Map both lease timelines. Enter new-site early-access days and old-site post-move exit days separately.
  4. Separate deposit cash flow. Enter the new deposit, old deposit, expected deductions, refund delay, and funding rate.
  5. Choose one downtime method. Use contribution margin, labour productivity, or a documented manual daily value.
  6. Approve base and stress funding together. Check whether liquidity can absorb uncovered overrun, extra closure, and extra overlap.

Worked example using the default illustrative inputs

The default scenario illustrates a 500 m² office for 40 people. It is not a market average or recommended budget. Direct quotations total KRW 103,000,000, and a 10% contingency produces KRW 113,300,000 of direct one-time cost. Twenty early-access days, ten delayed-exit days, temporary workspace, and continuity measures produce KRW 27,383,562 of occupancy and continuity cost.

Key results for the default illustrative office relocation scenario
ResultAmount or metricInterpretation
Direct one-time costKRW 113,300,000Direct subtotal plus 10% contingency
Occupancy and continuityKRW 27,383,562Early access, delayed exit, temporary space, and continuity
Effective lost days3 daysFull closure plus weighted reduced productivity
Selected downtime lossKRW 18,200,000Contribution-margin loss plus customer compensation
Deposit bridge financeKRW 715,068KRW 145,000,000 at 6% for 30 days
Economic relocation costKRW 164,598,630Refundable new-deposit principal excluded
Peak cash needKRW 359,598,630New deposit of KRW 200,000,000 included
Net cash use after refundKRW 214,598,630After the expected old-deposit refund
Stress economic costKRW 185,528,493Overrun, extra closure, and seven extra overlap days

Under the same inputs, labour-productivity core loss is KRW 43,200,000 and manual-method core loss is KRW 24,000,000. Do not add the three methods. Select the one with the clearest causal basis and records. Recovering the base economic cost over 24 months requires KRW 6,858,276 of monthly net saving or benefit.

Using the outputs for decisions

Budget approval

Use economic cost for the non-refundable business case and peak cash need for treasury liquidity. Combining them can misclassify a refundable deposit as an expense or approve cost without arranging enough cash for the payment date.

Site comparison

Hold area and people constant, then change fit-out, overlap, IT cutover, deposit, and downtime inputs for each candidate. A lower monthly rent can still produce a larger first-year burden when works, lead time, or deposit is high.

Cutover optimisation

Compare the cost of another overlap day with the selected daily downtime loss. This provides a ceiling for weekend work, parallel connectivity, rehearsals, temporary seats, and extra support that may reduce interruption.

Recovery target

Required monthly benefit is the minimum net saving or net productivity benefit needed to recover economic relocation cost over the target months. If revenue growth is used, deduct incremental variable and fixed cost first.

Practical relocation checklist

Quotes and lease terms

  • Packing materials, storage, insurance, specialist handling, and night work
  • Lift access, loading windows, protection, and building restrictions
  • Responsibility for new works and old-site reinstatement
  • Furniture reuse, disposal, sale, and asset tracking
  • Deposit payment, refund, deduction, and settlement dates
  • Rent-free period and service-charge, parking, and utility start dates

IT and continuity

  • Internet, leased line, telephony, and parallel-service dates
  • Server, cloud, backup, restoration, and access-control testing
  • Physical access, surveillance, meeting rooms, and print services
  • Essential-team priority, remote work, and temporary seating
  • Customer, supplier, delivery, billing, and address communications
  • Rehearsal, named owners, go or no-go criteria, and rollback plan

Limitations and cautions

  • Peak cash need is a conservative single-point approximation and does not replace a weekly payment schedule
  • Deposit bridge finance uses simple interest and excludes fees, facility limits, tax, compounding, and long-term cost of a larger new deposit
  • Separate departmental calculations are preferable when contribution margin, loaded labour cost, or lost time varies materially
  • Early access and delayed exit represent incremental days only, not ordinary occupancy that would exist without the move
  • Do not duplicate the same old-site reinstatement amount in direct project cost and expected deposit deductions
  • The model does not decide legal, tax, accounting, insurance, fire, safety, information-security, or contractual compliance

Frequently asked questions

Should the full new lease deposit be included in total cost?

Refundable deposit principal is an asset, so it stays outside economic relocation cost. It remains inside peak cash need because it may be payable before the old deposit refund. Expected old-deposit deductions and refund-delay finance cost are included as economic cost.

Is adding contribution-margin loss and labour loss more conservative?

The two measures may describe the same inability to cover fixed payroll and overhead during one interruption. Adding them can double count one effect. Select the method with the clearest causal basis, or select the larger method for a conservative case, then add only distinct customer credits or emergency cover.

Where should the contribution-margin rate come from?

Use normal-period management accounts. Subtract costs that fall with lost revenue, such as materials, payment fees, or variable subcontracting, from revenue and divide the remaining contribution by revenue. Exclude seasonal or one-off sales unless the move overlaps that period.

How should reduced-productivity days be estimated?

Review past access, network, hardware, room, and support tickets and estimate how long output may remain below normal after cutover. When operational and support teams differ materially, model them separately and combine only non-overlapping loss.

Does the stress case add overrun on top of contingency?

Only the amount not absorbed by base contingency is added. With a direct subtotal of KRW 100,000,000, a 15% contingency, and a 10% stress overrun, the base KRW 115,000,000 already covers the stressed KRW 110,000,000. A 25% overrun creates KRW 10,000,000 of uncovered increase.

Can this result support a lease dispute or damages claim?

This is an internal planning model, not a legal damages or deposit-refund determination. A dispute requires the lease, notices, quotations, invoices, actual revenue and cost records, and evidence of causation. Obtain separate legal and accounting review.

Sources and update boundary

Sources checked July 31, 2026

NIST Handbook 135e2022 informs the separation of initial cost, recurring cost, terminal credits, and recoverable value in a facility-related economic boundary. Ready.gov Emergency Plans and its Business Continuity Plan inform the communications, IT recovery, and continuity checklist. These official sources do not provide an office-move market price, a statutory downtime rate, a lease deposit deadline, or Korean tax and accounting treatment. No such value is hard-coded.

Replace the illustrative scenario with real relocation records

Enter both leases, itemised vendor quotations, the IT cutover plan, normal-period contribution margin, and the expected deposit-refund date. Present the base and stress cash needs together so that cost approval and liquidity planning use the same scope.