Cold Storage Power Calculator

Cold storage facilities consume 10–15x power of dry warehouse — utility rate critical.

Facility sq ft

kWh / sq ft / yr

Power $/kWh

Demand charge / month

Annual power cost

$198,000

Annual kWh

1,200,000

Per sq ft annual

How the math works

kWh annual = sq ft × kWh/sf/yr. Cost = kWh × $/kWh + demand × 12.

100k × 12 = 1.2M kWh × $0.08 = $96k + $102k demand = $198k. $1.98/sf annual.

How to Use

Enter facility sq ft.
Enter kwh / sq ft / yr.
Enter power $/kwh.
Enter demand charge / month.
Read annual power cost.

Frequently Asked Questions

Cold storage power economics?

Refrigerated (32–40°F): 3–6 kWh/sf/yr. Frozen (-10 to 10°F): 10–25 kWh/sf/yr. Blast freezer: 30–60 kWh/sf/yr. Total annual cost: $0.40–4.00/sf depending on rate + temp class. Demand charges: 30–50% of bill (peak 15-min draw). Refrigerant: ammonia (NH3) cheap but regulated, freon (HFC) being phased out, CO2 cascade emerging. Backup power: critical (loss of cooling = product loss). Best practices: thermal mass loading, off-peak freezing, demand response programs reduce 10–20% bill.

How does this asset class compare to traditional CRE?

Specialty assets (self-storage, RV parks, MHP, marinas, cold storage, data centers, parking, car wash, QSR/c-store, billboards, cell towers) typically offer higher cap rates than office/retail but with more operational complexity. They reward specialized operators with deep market knowledge. Lender pool is narrower, capital costs sometimes 50–150 bps higher, but downside resilience often better.

Capex and operational considerations?

Specialty assets often have heavier operational burden than passive triple-net retail. Self-storage, RV, MHP: tenant turn, security, basic upkeep. Marinas, parking, car wash: equipment-heavy with replacement reserves. Cold storage, data center: utilities are major cost. Billboards, cell towers: minimal opex, near-passive. Match management capacity to asset operational intensity.

Exit strategy?

Specialty asset cap rates have compressed significantly over last cycle but volatility is real. Buyers: REITs, private equity rollups, regional operators, 1031 buyers. Strong NOI history, environmental clarity (especially for car wash, gas station), and lease structure (for billboards, cell towers) drive valuation. Plan exit 24+ months in advance for best execution.