There are several reasons why it might be cheaper and easier to demolish existing old structures rather than repair or renovate them:
Condition of the Structure: In some cases, old structures may be severely deteriorated or damaged due to age, weather, pests, or neglect. If the damage is extensive, repairing or renovating the building could involve significant time, effort, and cost.
Building Codes and Safety Regulations: Older buildings might not meet current building codes and safety regulations. Bringing them up to code could involve extensive structural changes and upgrades, which can be more expensive than starting from scratch.
Outdated Systems and Materials: Older structures may have outdated electrical, plumbing, and HVAC systems that need to be replaced or upgraded to meet modern standards. Similarly, using modern, energy-efficient materials during renovation can be more costly than constructing a new building with these materials from the start.
Unknown Issues: When dealing with old structures, there could be hidden issues that are only discovered during the renovation process. These unexpected problems can add significant costs and delays to the project.
Design and Layout Limitations: Older buildings might not have the desired layout or design for the intended use. Adapting the existing structure to meet modern functional and aesthetic requirements can be challenging and costly.
Time and Convenience: Demolishing an old structure and starting anew can be a faster and more convenient option, especially for commercial developers who want to complete projects quickly and efficiently.
Property Value: In some cases, the cost of renovating an old structure might exceed the potential increase in property value. In such situations, it makes more financial sense to demolish and build something new that better meets current market demands.
Economic Incentives: In certain areas, there might be tax incentives or other benefits for new construction that make it more appealing from an economic standpoint.
It's important to note that the decision to renovate, repair, or demolish a structure depends on various factors, including the building's condition, the intended use, budget constraints, and regulatory requirements. In some cases, preserving historical or architecturally significant buildings might be a priority, even if it involves higher costs and more extensive renovations. Ultimately, each project must be evaluated on a case-by-case basis to determine the most suitable course of action.