Devon Loerop set out to build a high-end Airbnb property in Sultan, Washington using five shipping containers. The result — The Pacific Bin — is a 1,600 sq ft, two-story Scandinavian-industrial home that appraised for approximately $1,000,000 on completion. Getting there cost $542,451.92 in construction alone, plus $207,000 in land, for a total investment of roughly $750,000. The containers themselves? $33,000 — just 6% of the total budget.
$542K
Total build cost
1,600
Square feet
5
Containers used
$339
Per square foot
~$1M
Appraised value
$250K
Equity created
Sultan, WA
Location
Airbnb
Intended use
▲ Devon Loerop's full build video on YouTube. The cost breakdown below is sourced from this video with additional analysis from ContainerCompass.
In this case study
Complete itemized cost breakdown
Every line item documented by the builder — $542,451.92 total. Nothing estimated.
Planning & permits
| Critical area study (wetlands & slope identification) | $3,925 |
| Land survey | $10,000 |
| Structural & architectural plans | $10,700 |
| Civil engineering (drainage) | $6,180 |
| Septic design | $3,000 |
| Permit review fee | $9,924 |
| Subtotal — planning & permits | $43,729 |
Site prep & utilities
| Rock (driveway and foundation support) | $6,000 |
| Rental equipment (excavators, etc.) | $7,400 |
| Well drilling & equipment (260ft deep) | $21,900 |
| Pump house | $2,400 |
| Power company transformer & hookup | $27,000 |
| Septic system installation | $24,000 |
| Subtotal — site prep & utilities | $88,700 |
Core structure
| 5 shipping containers | ~$33,000 |
| Foundation | $23,000 |
| Structural steel reinforcement | >$20,000 |
| Welding inspection | $432 |
| Wood framing | $6,700 |
| Subtotal — core structure | ~$83,132 |
Exterior & building envelope
| Metal roof | $17,650 |
| Windows and doors | $36,000 |
| Architectural soffits / overhangs | $11,500 |
| Closed-cell spray foam insulation | $19,500 |
| Blower door inspection | $400 |
| Subtotal — exterior & envelope | $85,050 |
Mechanical, electrical & plumbing
| Electrician (labor & materials) | >$26,000 |
| Plumber (labor & materials) | ~$17,000 |
| HVAC — 5 mini-split head units | $28,000 |
| Gas fireplace | $6,000 |
| Subtotal — MEP | ~$77,000 |
Interior finishes
| Drywall | $11,500 |
| Paint (interior & exterior) | $3,100 |
| Flooring (hickory hardwood & tile) | $17,000 |
| Quartz countertops | $10,000 |
| Custom island & dining table | $9,000 |
| Glass shower door | $2,100 |
| Spiral staircases (2) | $15,000 |
| Subtotal — interior finishes | $67,700 |
Outdoor features
| 7-person saltwater hot tub | $17,000 |
| Decks — 1,000 sq ft TimberTech + structure | $26,000 |
| Asphalt driveway apron (code requirement) | $3,350 |
| Subtotal — outdoor features | $46,350 |
Miscellaneous & furnishings
| Tesla charger & Starlink (2 units) | $2,640 |
| Propane tank | $126 |
| Small tools & equipment | $31,000 |
| Website (Squarespace) | $300 |
| Furniture | ~$14,000 |
| Medical bills (metal in eye — twice) | $400 |
| Subtotal — misc & furnishings | ~$48,466 |
Land not included — total investment was ~$750,000
The $542,451 figure covers construction only. The land purchase added approximately $207,000, bringing the total investment to ~$750,000. The property appraised at approximately $1,000,000 on completion — roughly $250,000 in equity created by the build.
What actually drove the budget
The containers themselves were a small fraction of the total. Here's where the money actually went:
Site & utilities: $88,700 (16%)
The most underestimated category for rural builds. Drilling a 260ft well ($21,900), installing a septic system ($24,000), and paying the power company $27,000 just to run a transformer to the property — before a single container was placed. Remote sites cost significantly more to connect than suburban lots with existing utility access.
Structural steel: $20,000+ (4%)
The perpendicular stacking design — containers crossing at right angles — created large overhangs that standard container corner-to-corner stacking doesn't have. Supporting those cantilevers required more than $20,000 in structural steel reinforcement. A simpler parallel stacking design would have largely eliminated this cost.
Windows & doors: $36,000 (7%)
The single largest line item after utilities. The large, architecturally dramatic window package required a 4.5-month lead time and accounted for more than 6% of the entire build budget. In a conventional build, windows typically run $10,000–$20,000 for a home this size. The premium here reflects the custom sizing and high-performance glazing chosen for the aesthetic.
Tools & equipment: $31,000 (6%)
An often-invisible cost for owner-builders. Welders, plasma cutters, angle grinders, safety equipment, concrete tools, and thousands of small consumables — nails, screws, welding wire, propane — accumulated to $31,000 over the course of the build. This is a real number that most "container home cost" guides never mention.
Permits & planning: $43,729 (8%)
Washington State's permitting process is thorough. The critical area study alone ($3,925) was required to identify wetlands and steep slopes before any work could begin. Add land survey, structural engineering, civil engineering, septic design, and the county permit review fee and you're at $43,000 before the first shovelful of dirt moves.
Containers themselves: $33,000 (6%)
The five containers cost approximately $33,000 — just 6% of the $542,000 build cost. This is the number that most people fixate on when they search "shipping container home cost." The container is the starting point, not the budget. Every other line item in this breakdown is what a container home actually costs.
The costs that surprised the builder most
- $27,000 power hookup. The local utility required a new transformer installation to serve the property. This cost wasn't in the original budget and couldn't be avoided — it's a take-it-or-leave-it charge from the power company. Rural and semi-rural sites frequently encounter this; urban sites almost never do.
- $3,350 asphalt driveway apron. The county required the first 20 feet of driveway to be paved in asphalt to prevent rocks tracking onto public roads. Small cost, completely unexpected, non-negotiable code requirement. Every jurisdiction has quirks like this.
- Hot tub: $6,000 budgeted, $17,000 spent. The original budget assumed a standard hot tub. The final choice was a 7-person premium saltwater model. A $11,000 budget overrun on a single line item illustrates how finish-level decisions compound throughout a luxury build.
- Lumber price spike. The $6,700 framing lumber cost reflected a period when lumber was 2–3× normal pricing. The same framing today would likely cost $3,000–$4,500 in a normal market. Timing affects material costs significantly.
- HVAC at $28,000 — likely overpriced. The builder himself acknowledged the 5 mini-split head unit system at $28,000 was probably above market. Getting 3 HVAC bids rather than accepting the first quote could have saved $5,000–$8,000 here.
Design decisions and their cost impact
The perpendicular stacking design — containers crossing at right angles to create dramatic overhangs — is the single feature most responsible for the premium cost of this build. Here's why:
| Design choice | Cost impact | Alternative | Savings potential |
|---|---|---|---|
| Perpendicular stacking | $20,000+ structural steel | Parallel stacking | $15,000–$20,000 |
| Custom window package | $36,000 | Standard residential windows | $15,000–$20,000 |
| 2 spiral staircases | $15,000 | Single standard staircase | $8,000–$10,000 |
| Premium saltwater hot tub | $17,000 | Standard hot tub | $10,000–$12,000 |
| 1,000 sq ft TimberTech deck | $26,000 | Simpler 400 sq ft deck | $12,000–$15,000 |
| 5-unit mini-split system | $28,000 | Competitive bid mini-split | $5,000–$8,000 |
Removing the perpendicular stacking in favor of a parallel design and simplifying the finishes could realistically bring a comparable 5-container build to $350,000–$400,000 without significantly compromising livability. The architectural drama costs real money.
What this build would cost in your state
Washington State construction costs are above the national average — skilled labor, permitting, and material costs all run higher than most of the country. Here's how the same project would likely price out in different states, adjusting for regional labor and material cost differentials.
| State / region | Labor cost index | Est. comparable build cost | vs Washington |
|---|---|---|---|
| Washington State (actual) | High (1.0×) | $542,000 | Baseline |
| California (Bay Area) | Very high (1.15×) | ~$625,000 | +15% |
| Oregon / Colorado | High (0.95×) | ~$515,000 | −5% |
| Texas (major metros) | Moderate (0.85×) | ~$460,000 | −15% |
| Tennessee / Georgia | Moderate (0.80×) | ~$435,000 | −20% |
| Alabama / Mississippi | Low-moderate (0.75×) | ~$405,000 | −25% |
| Rural Midwest | Low (0.70×) | ~$380,000 | −30% |
Site costs don't follow labor indexes
The utility hookup costs ($27,000 power transformer, $21,900 well, $24,000 septic) are determined by the specific site, not the state. A remote rural lot in Alabama could have the same or higher utility costs as a Washington site. Site selection has more impact on these costs than geography.
Airbnb revenue estimate
The Pacific Bin was purpose-built as a short-term rental. The unique container aesthetic, luxury finishes, and rural Washington location create a genuine premium Airbnb property. Here's a rough revenue estimate based on comparable properties in the area:
| Scenario | Nightly rate | Occupancy | Annual gross revenue |
|---|---|---|---|
| Conservative | $300 | 50% | ~$54,750 |
| Realistic | $350 | 65% | ~$83,000 |
| Strong performance | $400 | 75% | ~$109,500 |
After platform fees (15–20%), cleaning costs, utilities, and maintenance, a realistic net operating income is $50,000–$70,000 annually — a 7–9% annual return on the $750,000 total investment. That's competitive with commercial real estate returns. The builder also reports that documenting the build generated 750,000 social media followers, which provides ongoing marketing value and potential sponsorship income.
Lessons directly from the builder
-
1
Welding safety is not optional
The builder made two emergency room visits for metal fragments in his eyes during the build. Proper welding PPE — specifically auto-darkening helmets and side shields — is non-negotiable. The medical bills added $400; the risk was far greater.
-
2
Order windows at day one
The custom $36,000 window package took 4.5 months to arrive. If you order windows after framing is complete, you're looking at a month or more of project idle time. Order the window package when you finalize the design — before any site work begins.
-
3
A crawlspace foundation is worth it
The 5-foot crawlspace foundation significantly simplified plumbing and electrical rough-in. All runs were accessible from below rather than being stubbed through container walls. The extra foundation cost paid for itself in reduced MEP labor and simplified future maintenance access.
-
4
Buy containers around Christmas on the West Coast
The builder found that container prices dip around the holiday season on the West Coast due to a surplus of holiday import containers arriving from Asia. If your build timeline is flexible, shopping for containers in November–January on the West Coast can yield better pricing.
-
5
Get 3 bids on HVAC
The $28,000 HVAC system was sourced from a single contractor. The builder later felt this was overpriced for 5 mini-split heads. A competitive bidding process would likely have found the same system for $18,000–$22,000. For any trade with a quote over $15,000, always get three bids.
How to build something similar for less
If the Pacific Bin's design resonates but the $542,000 build cost doesn't, here's where the budget can be reduced without gutting the concept:
- Simplify the stacking design. Parallel containers (side by side or end to end) eliminate the structural steel reinforcement cost entirely. The perpendicular cantilever was the most expensive single architectural decision.
- Use fewer containers. Three 40ft containers gives you 960 sq ft — enough for a very comfortable 2-bedroom STR — at roughly 40% lower container and structural cost.
- Choose a site with existing utilities. The well, septic, and power hookup were $72,900 combined. A site with city water and sewer connection — even if the lot costs more — can eliminate this entirely.
- Standard window sizing. Custom-sized windows in large quantities drive significant cost. Designing openings around standard residential window sizes (which ship in 2–6 weeks, not 4.5 months) can save $10,000–$20,000.
- Reduce deck footprint. The 1,000 sq ft deck at $26,000 is a significant cost. A 400–500 sq ft deck focused on the primary outdoor living area achieves most of the functional benefit at roughly 40–50% of the cost.
A 3-container parallel design with standard windows, a suburban site, and mid-tier finishes could achieve a comfortable STR property at $200,000–$280,000 — roughly half the Pacific Bin's cost — while maintaining the container home aesthetic that drives Airbnb demand.
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