NACS: Convenience stores invested $6 billion in 2015 on site improvements

The U.S. convenience store industry invested more than $6 billion in upgrading stores in communities across the country in 2015, according to the National Association of Convenience Stores (NACS).

The average cost of a store remodel in 2015 was $409,582, up 40% from an average cost of a remodel in 2011. With 12% of all convenience stores undergoing remodels in 2015, that means that the industry cumulatively committed more than $6.3 billion to improving stores in neighbourhoods across the country.

The cost of the building itself was 37% of the cost of a new store build. Equipment costs (for foodservice, motor fuel and technology, in particular) were also 37% of overall costs. The remainder of the costs were for land (22%) and inventory (4%).

The average interval between store remodels is 10 years. The average age of registered vehicles in the United States is 11.5 years, so more than likely that the typical car pulling into a convenience store—for food of fuel—is older than the store itself.

“Convenience stores don’t just serve communities—they invest in them. With this large investment, they have a stake in the community’s success and seek to enhance it,” said NACS Vice President of Strategic Industry Initiatives Jeff Lenard.

The new metrics were announced during the NACS Show, the premier event of the year for the convenience and fuel retailing industry in the United States.