Page 51 - FLEXCAVES BIZ PLAN - April 2025 v1.0

FINANCIALS & INVESTOR RETURNS
EXPENSE ANALYSIS & COMP
The FLEXCAVES™ operating expense of $11,519 per unit per year (equivalent to $10 per square
foot) is competitively positioned between traditional small-bay industrial space and traditional office space
working environments — delivering both functionality and elevated user experience at a highly rational
cost.
Small-Bay Industrial Flex Spaces
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Typical Operating Expenses: $3.00 – $5.00 per SF/year
Construction Costs: $75 – $100 per SF on average
Limitations: Functional but basic, with little design focus, no branding elements, and typically no
customer-facing infrastructure
ShopCaves – A Hybrid Model
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Use Case: ShopCaves are designed as hybrid spaces — allowing tenants to operate as customer-
facing businesses while also having private, secure workspace or storage
Differentiators:
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Branded storefronts with direct drive-up access
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Roll-up doors and flexible mezzanine space
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Appealing to trades, creatives, small e-commerce, mobile service businesses, and boutique retail
Cost Profile: With OpEx at $10 per SF, ShopCaves operate at a premium to legacy industrial but well
below what comparable multi-use commercial spaces would command — making them ideal for owner-
operators who value image, access, and affordability
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