Where abouts are you? What do you have down now? Does it go under the cabinets? What flooring does it meet up to at doorways and other transitions? Is what you have now flush to the other flooring surfaces? Approximately what do you have for square footage? What was your first born's name? (only kidding on that last one :-) )

In our area, it seemed that $3-4 sq ft for basic installation, but everything Bill mentioned would add to that. I think it would have been $1.50 to $2 per sq ft more for taking up the old tile (we did that ourselves), then there was an additional charge for leveling the concrete slab in a few places. If you are talking about replacing a wood subfloor, I'm sure that will be more. If you are laying tile in a pattern that requires more labor or has insets or borders or mixing tiles, you will pay more. If there is anything difficult about the type of tile, you will pay more. If the job is small, the price per sq ft may be higher because most folks will want a job minimum to cover their cost for half a day or a full day and their travel time. So it varies -- best thing to do is get some bids based on your specific details.

best thing to do is get some bids based on your specific details.

Excellent advice.

The project would require pulling up old floor and sub-floor as well as installing new sub and ceramic. No issue with transitions, but would need to pull out island (installing new one); however, that is a separate cost.

Right now I have a quote that is $7/sq foot, for tearing out linoleum/sub floor and installing new sub and tile for approximately 400 sq. ft. of space.

We are in the Chicago area. The contractor I have did our basement and does quality work. That said, just want to ensure this price is in line. I have no problem paying a little extra for piece of mind that it get's done correctly, but just want to check that the quote is 'reasonable'.

Appreciate the advice.

I can't tell you -- the work is different from anything I would have done in a different part of the country. But you say you have already had him do a job and the work was good. Do you think you overpaid for the first job? If not, why are you questioning it now? Did you get any other bids for the first job? Get at least a second bid, if not a third, and factor in what knowing you have someone you can trust and know will do a good job is worth. Make sure each bid is all-inclusive so you can compare apples to apples.

Do the floor joists have a small enough deflection for ceramic tile?
The code maximum deflection is 1/360 of the span.
This is often to large for anything but mosaic tile.
Larger tiles need smaller deflection limits to prevent cracking and popping of the tile off the floor.

On top of this the sub floor needs to be thicker wood to prevent deflection between the joists, with cement board on top of the wood. This often leads to a significant buildup in height.

The code maximum deflection is 1/360 of the span.

That goes for just about any kind of flooring, save maybe carpet.

Wingsred-- For what you've got, including demo, that's an excellent price. I just contracted almost the very same kind of thing here, except about 1100 feet, for almost half again that price (10.00 a foot +/-). Of course, my price also included the cost of the dumpster.

"I have no problem paying a little extra for piece of mind that it get's done correctly", that is the 'key' here,if you already know the quality then don't worry about price so much, but it sounds inline.
take heed to the advice above about floor deflection, it can cost just as much to prepare a wood floor to receive tile as it does to lay the tile. take a look at this sub floor product

Here is a link that might be useful: schluter DITRA

Ditra's a good product. In fact, I'll go so far as to say that next to a mud bed, there's nothing better you could put under a tile floor. But be advised-- the subfloor MUST meet all deflection requirements BEFORE the Ditra goes down. you can NOT use Ditra to set tile over a questionable subfloor.

Here's a pic of Ditra installed, in case there's anyone who hasn't yet heard of it: