For a discussion. of the related concepts of entrepreneurial incentive, developerâs profit, contractorâs profit, profit, and project profit, see Appraisal Institute, The Appraisal of Real Estate, 13th ed.
According to the Fire Protection Research Organization's 2009 Fire Sprinkler Cost Assessment, sprinkler installation costs homebuilders $0.38-$3.66 per sprinklered square foot, with an average cost of $1.61 per sprinklered square foot. For an average 2,200-square-foot home, expect to pay about $3,542.
A typical residential fire sprinkler system will cost between $10 and $15 per foot to install, including materials. Commercial and industrial installations are typically much less, starting at around $6 per square foot (due to the size of the job).