A commercial office fitout is the process of turning an empty or outdated space into a working office. In the context of office spaces, the terms office fitout and commercial fitout are used interchangeably to describe this process.
The total cost and scope of the project depend on whether you start with a base build, a warm shell, or a turnkey space.
The difference between Category A and Category B fitouts
Category A fitouts are the basic installations provided by landlords to make a space leasable, including raised floors, suspended ceilings, basic lighting, air conditioning, and toilet facilities. Category B fitouts are tenant specific and include branded reception areas, custom joinery, breakout zones, glass partitions, and full IT infrastructure. The cost gap between these two levels can be tens of thousands of dollars for larger offices.
Starting points for a commercial office fitout
A base build is a concrete shell where all construction starts from scratch. A warm shell already has basic services like power and air conditioning installed but requires a tenant fitout to be functional. Turnkey spaces are move in ready because a previous occupant or the landlord has already completed the fitout. A bargain lease in an old building can quickly become expensive if the fitout requirements are high.
Primary factors that drive fitout costs
Floor area is the primary cost driver as most contractors quote by the square metre. The shape of the floor plate also affects the budget, as regular rectangular spaces are cheaper to fit out than narrow or awkward layouts. Design complexity also creates price variance, such as choosing polished concrete over carpet or custom joinery over flat pack options. Location and building age further impact costs, as older buildings often require more work to meet current building codes.
Managing your project with Progressive Corporate
Progressive Corporate delivers end to end fitouts and employs a registered building practitioner as required by the VBA in Victoria. Our client list includes national brands such as Telstra, Kia, Commonwealth Bank, and RMIT. We handle every stage under one roof, including design, construction, electrical, plumbing, flooring, and furniture to ensure the project reaches practical completion on time.
Frequently asked questions
What is a warm shell?
A warm shell is a space where basic services like power and air conditioning are installed, but no partitions or finishes exist.
What is a turnkey fitout?
A turnkey fitout is a move in ready space that has already been fully fitted out by a previous tenant or the landlord.
Does building location affect the fitout cost?
Yes, labour costs vary by city and older or heritage listed buildings often require specialist trades and more time to meet codes.
Questions to ask your fitout company before you sign
- Which specific items in the quote are listed as provisional sums or PC rates?
- Does the proposed budget include all necessary building services and authority approvals?
- What are the specific make good obligations for this tenancy at the end of the lease?