● Make Good & End of Lease

Thinking Process:

1. **Deconstruct the Request:**
* **Goal:** Write raw HTML content for a WordPress page about “How do you calculate commercial lease make good costs?”
* **Brand:** Progressive Corporate, Melbourne commercial fitout specialist since 1989. Tone: Direct, precise, practical, senior project manager.
* **Output:** Raw HTML only, specific structure, no markdown, no fences, specific tags.
* **Language:** Australian English.
* **RAG Context Only:** Strict adherence. No inventions. If context is missing, omit or note gap.
* **Key Constraints:** No banned phrases, no em/en dashes, no AI patterns, specific word counts (350-420 words excluding FAQ), summary box structure, H2 structure, FAQ structure, Questions list structure.

2. **Analyze RAG Context for Answers:**
* *How to calculate?*
* Make-good is a legal obligation to restore space to agreed condition.
* Types: Full strip-out (remove everything, return to shell/base build).
* Cost drivers: Complexity of original fitout, length of tenancy, condition at expiry.
* Cost ranges (Indicative only, from context):
* Small (<200m²): $15,000 to $60,000.
* Medium (200-500m²): $60,000 to $180,000.
* Large (500m²+): $180,000 to $500,000+.
* Hidden costs: Hazardous materials (asbestos), structural repairs, compliance upgrades, landlord contractor costs (if tenant fails).
* Alternatives: Cash settlement (make-good equivalent payment), fit-out retention (landlord keeps fitout).
* Advice: Get legal advice if clause is long/unclear. Early planning helps pricing.

3. **Draft Content – Section by Section (Mental Word Count and Structure Check):**

* *TITLE:* How do you calculate commercial lease make good costs?
* *Output:* `TITLE: How do you calculate commercial lease make good costs?`

* *Summary Box:*
* *Goal:* 1-2 sentences, direct answer.
* *Draft:* Make good costs depend on your lease obligations, the complexity of your original fitout, and the condition of the space at expiry. Calculations require a detailed assessment of strip-out scope, service reinstatement, and potential compliance upgrades against indicative ranges for your floor area.
* *Check:* Direct? Yes. 2 sentences? Yes. Based on context? Yes.

* *Opening Nuance:*
* *Goal:* One sentence, most important nuance.
* *Draft:* The true cost often jumps significantly when hidden factors like asbestos discovery or landlord-initiated contractor charges trigger unexpected scope changes.
* *Check:* One sentence? Yes. Nuance? Hidden costs/landlord charges. Context? Yes (hazardous materials, landlord contractor costs).

* *H2 1: Types of Make-Good Obligations*
* *Goal:* 2-3 sentences. Fact first, implication after.
* *Draft:*
* `

Types of make-good obligations

`
* `

Full strip-out requires removing all tenant-installed works like partitions, joinery, and ceilings to return the space to base build condition. The more extensively you fitted out the space, the higher the removal and reinstatement costs will be at lease end.

`
* *Check:* 2 sentences. Fact: Full strip-out definition. Implication: Complexity drives cost. Context: Yes.

* *H2 2: Cost Ranges*
* *Goal:* 2-3 sentences.
* *Draft:*
* `

Indicative cost ranges by size

`
* `

Small offices under 200m² typically range from $15,000 to $60,000, while medium spaces between 200m² and 500m² can cost $60,000 to $180,000. Large fitouts over 500m² often exceed $180,000 and can reach $500,000 or more depending on the scope.

`
* *Check:* 2 sentences. Figures match context exactly. No invention. Australian English? Yes.
* *Word Count Check:* “Small offices under 200m² typically range from $15,000 to $60,000, while medium spaces between 200m² and 500m² can cost $60,000 to $180,000. Large fitouts over 500m² often exceed $180,000 and can reach $500,000 or more depending on the scope.” -> ~60 words.

* *H2 3: Hidden Costs / Drivers*
* *Goal:* 2-3 sentences.
* *Draft:*
* `

Hidden costs that increase liability

`
* `

Hazardous materials like asbestos require licensed removal before works can proceed, adding significant time and expense to the project. Structural repairs and compliance upgrades to building services also emerge during demolition and can become tenant obligations depending on your lease terms.

`
* *Check:* 2 sentences. Fact: Hazards, repairs, compliance. Implication: Time, expense, lease terms. Context: Yes.
* *Word Count Check:* ~70 words.

* *H2 4: Alternatives / Strategy*
* *Goal:* 2-3 sentences. Actionable? No, this is H2 4, but structure says H2 4 is “what to do next”. Let’s check structure.
* *Structure:* Summary, Nuance, H2, H2, H2, H2 (what to do next/ask), FAQ, Questions list.
* *H2 4 should be H2 “Alternatives to physical make-good”? Or H2 “What to do next”?*
* *Refinement:* The structure has 4 H2s before FAQ? Let’s check `[ ] Exactly 3 bullets…`. The structure shows:
* Summary box.
* Nuance p.
* H2…p
* H2…p
* H2…p
* H2…p (what to do next/ask)
* FAQ
* Questions list.
* *So 4 H2s.*
* *H2 1:* Types.
* *H2 2:* Costs/Ranges.
* *H2 3:* Hidden costs.
* *H2 4:* What to do next/ask.
* *Draft H2 4:*
* `

Negotiating options before lease expiry

`
* `

Sometimes it’s lower. It depends on your lease, your negotiating position, and your landlord. Cash settlement is worth exploring — but get the numbers properly assessed before you agree to anything.`
* *Wait, context says:* “Cash settlement is worth exploring — but get the numbers properly assessed before you agree to anything.” and “Fit out Retention… Always ask. Always get it in writing.”
* *No En Dashes banned.* “Cash settlement is worth exploring. Get the numbers properly assessed before you agree to anything.”
* *Refinement:*
* `

Negotiating options before lease expiry

`
* `

Some leases allow a make-good equivalent payment as a cash settlement instead of physical works, though this is not always the cheaper option. You can also negotiate fit-out retention where the landlord keeps your fitout, reducing or eliminating obligations, but you must get any agreement in writing.

`
* *Check:* 2 sentences. Facts: Cash settlement, retention, get in writing. Context: Yes. No dashes.
* *Word Count Check:* ~70 words.

* *Word Count Tally:*
* Summary: ~50 words.
* Nuance: ~30 words.
* H2 1: ~50 words.
* H2 2: ~60 words.
* H2 3: ~70 words.
* H2 4: ~70 words.
* Total ~330 words.
* *Constraint:* 350 to 420 words.
* *Expansion needed.*
* *Expansion Strategy:* Add “Timeline pressure” and “Landlord contractor costs” to H2 3? Or expand H2 1? Or split H2

Progressive Corporate has been delivering turnkey office fit outs in Melbourne for over 30 years, with in-house design, project management and installation. See what sets us apart.