Whether you’re hunting for the right office space, mid-way through lease negotiations, or trying to figure out if a fitout even fits your budget right now — cost is always the first real question.
And it’s a fair one. A commercial office fitout is one of the biggest investments a business makes. Get it right and your team is more productive, your clients are impressed, and your space works hard for your business. Get it wrong — or go in without a realistic budget — and it can derail the whole move.
So what does a commercial office fitout actually cost? The honest answer is: it depends on a lot of things. But that doesn’t mean you have to go in blind. This guide breaks down every factor that drives fitout costs up or down — so whether you’re still comparing suburbs and buildings, or you’ve already got keys in hand, you’ll know exactly what to expect before you commit to anything.
What Even Is a Commercial Office Fitout?
Before we talk money, let’s get on the same page.
A commercial office fitout is the process of turning an empty or outdated space into a working office. That could mean new flooring, walls, lighting, furniture, cabling — the whole lot. Or it could just mean a fresh coat of paint and some new desks.
There’s three ways a space usually comes to you:
- Base build — Basically a concrete shell. You’re starting from scratch.
- Warm shell — Basic services are in (air con, power) but nothing else.
- Turnkey fitout — Move-in ready. Someone else already fitted it out.
Which one you’re working with makes a huge difference to your budget. A base build commercial office fitout costs a lot more than moving into a warm shell. Simple as that.
The 10 Biggest Things That Drive Up Fitout Costs
1. How Big Is the Space?
This one’s obvious, but it’s worth saying clearly. The bigger the space, the more it costs. Most fitout contractors quote by the square metre, so your floor area is your starting point for any office fitout budget.
But size isn’t just about total metres squared. The shape of your floor matters too. An awkward, narrow floor plate wastes materials. A regular rectangular space is cheaper and easier to work with.
Rough cost guide by fitout level:
- Budget office fitout: $500 – $1,000/m²
- Mid-range commercial fitout: $1,000 – $2,000/m²
- Premium or high-spec fitout: $2,500 – $4,500+/m²
These numbers move depending on your city, your building, and what you actually want done. Always get proper quotes from a local commercial fitout company.
2. Category A vs Category B — What Type of Fitout Are You Getting?
This is something a lot of business owners don’t know about, and it can throw your budget out completely if you don’t understand it early.
Category A fitout covers the basics — raised floors, suspended ceilings, basic lighting, air conditioning, and toilet facilities. It’s what landlords do to get a space ready to lease. You can move in, but it’s bare bones.
Category B fitout is where your business personality comes in. Think branded reception areas, custom joinery, breakout zones, collaborative spaces, glass partitions, and full IT infrastructure. This is the fitout that makes your office yours.
Category B commercial office fitouts always cost more than Category A. The gap between them can be tens of thousands of dollars, especially for larger offices.
3. Where Is Your Office Located?
Location affects your fitout cost in two big ways.
First, labour costs vary by city and region. A commercial office fitout in Sydney CBD will cost more than the same fitout in regional Queensland. That’s just the reality of local labour markets and contractor pricing.
Second, the building itself matters. Older buildings often need more work to meet current building codes. Heritage-listed buildings can come with serious restrictions on what you can and can’t change. That adds time, specialist trades, and cost.
If you’re looking at a space and it seems cheap to rent, look carefully at the condition. A bargain lease in an old building can turn into an expensive fitout real fast.
4. Design Complexity and Finish Level
This is where budgets blow out the most — and often for reasons businesses don’t see coming.
There is a massive difference between standard commercial finishes and premium ones. Polished concrete vs. carpet. Flat-pack joinery vs. custom-built. Basic lighting vs. architectural lighting design.
None of these choices are wrong. But every upgrade adds cost. A designer or architect who specialises in commercial office fitouts will help you see where your money makes the biggest visual impact and where you can pull back without noticing.
The more complex the design, the more trades are involved. More trades = more coordination = more time = more money. That’s just how commercial fitouts work.
5. Building Services — Electrical, HVAC, Plumbing, and Data
This is the stuff hidden inside your walls and ceiling. It’s not glamorous, but it’s often where the biggest unexpected costs live.
Upgrading electrical capacity, running new data cabling, modifying air conditioning zones, adding plumbing for a kitchen or extra bathrooms — all of this adds up fast. Especially in older buildings where the existing services are tired or non-compliant.
When getting quotes for your commercial office fitout, always ask specifically what’s included in building services. It’s one of the most commonly misunderstood parts of a fitout budget.
6. Furniture and Workstations
How you furnish your office is a choice — and it’s a bigger budget line than most people expect.
Loose furniture (desks, chairs, soft seating) is one option. Built-in joinery (reception desks, storage walls, custom cabinetry) is another. Most offices do a mix of both.
Activity-based working setups — where people don’t have assigned desks — require specific furniture types that cost more than traditional workstations. Standing desks, acoustic booths, collaborative tables — they’re great for the team but they hit the budget harder.
One option worth asking your fitout contractor about: refurbished or second-hand office furniture. Good quality used furniture can save thousands and still look great.
7. Structural Work and Demolition
If you’re fitout out a space that’s been used before, you might need to strip it back before you can build it up. Demolition of an old fitout costs money. And sometimes what’s underneath is a surprise — in both good and bad ways.
Structural modifications like knocking through walls, adding new door openings, or creating mezzanine levels add significant cost to any commercial fitout project. These jobs need engineers, permits, and specialist trades.
If you don’t need to touch the structure, great. If you do, budget carefully and add contingency.
8. Project Management and Professional Fees
Your fitout contractor doesn’t just build things. Someone has to manage the whole project — coordinating trades, managing timelines, handling building approvals, and making sure your office is delivered on time.
Project management fees are usually built into your fitout quote, but it’s worth asking exactly what’s included. Are design fees separate? What about structural engineering reports? Council permits?
These professional fees can add 10–20% on top of your construction costs, depending on the complexity of the project.
9. Timeline Pressure
Here’s one people don’t think about until it’s too late.
If you need your office fitout done fast — say, because your lease starts on a fixed date — that urgency costs money. Trades work overtime and on weekends for penalty rates. Materials get expedited. Decisions get rushed.
A relaxed timeline with good planning will almost always result in a better fitout at a lower cost. If you can give your commercial fitout contractor 3–6 months of lead time, use it.
10. Permits, Approvals, and Compliance
Every commercial office fitout needs building approval. In some cases, it also needs fire engineering reports, accessibility compliance upgrades, or council planning approvals.
This isn’t optional — skipping it creates serious legal and safety problems down the track. But it does cost time and money.
Your fitout contractor should handle most of this for you, but make sure it’s clearly included in their scope of work. Don’t assume it’s covered unless it’s in writing.
Costs Business Owners Often Forget to Budget For
These don’t always show up in fitout quotes, but they hit your wallet all the same:
- IT equipment — Computers, monitors, phones, servers
- Signage and branding — External signage, internal wayfinding
- Relocation costs — Moving your stuff from the old office to the new one
- Temporary accommodation — If your team needs to work somewhere while the fitout is being built
- Defects and touch-ups — Small fixes after handover that take time and trades to resolve
Build these into your total project budget, not just your fitout budget.
How to Keep Your Commercial Fitout Costs Under Control
Here’s what experienced project managers and business owners say actually works:
Get your brief right before you call anyone. Know how many people you’re fitting out for, what kind of work they do, and what you actually need vs. what would be nice to have.
Talk to a fitout specialist early. Not when you’ve already signed the lease and picked the furniture. Early. Before you commit. A good commercial office fitout company will tell you what’s realistic for your budget before you spend a cent.
Compare at least three quotes — and make sure they’re quoting on the same scope. It’s common for quotes to vary widely because they’re not actually comparing the same thing.
Hold 10–15% back as contingency. Things come up in fitouts. Always. A contingency budget means surprises don’t become crises.
Prioritise where it matters most. Reception areas and meeting rooms make the biggest impression. Back-of-house storage and utility rooms can be done to a more basic standard without anyone noticing.
So What Will My Office Fitout Actually Cost?
There’s no single answer — and anyone who gives you a firm number without seeing your space and understanding your brief is guessing.
What we can say is this: a well-planned commercial office fitout, done by an experienced local contractor, will almost always cost less than a rushed one. And it’ll look better too.
If you’re planning a commercial office fitout and want a realistic budget conversation, talk to a local fitout specialist who knows your market, your building type, and your industry.
The best fitouts don’t happen by accident. They happen because someone asked the right questions early.
Ready to Plan Your Melbourne Office Fitout? Let’s Talk.
If you’re trying to figure out what your fitout will actually cost — or you just want straight answers before you commit to anything — we’re here to help.
At Progressive Corporate, we’ve been fitting out commercial offices across Australia for over 27 years. We’ve worked with businesses of all shapes and sizes — from startups finding their feet to national brands like Telstra, Kia, Commonwealth Bank, and RMIT. So whatever stage of planning you’re at, chances are we’ve helped someone in a very similar position before.
We handle everything under one roof — design, construction, electrical, plumbing, flooring, furniture, and full project management. That means no juggling multiple contractors, no finger-pointing when something goes wrong, and no nasty surprises halfway through your build.
And to make it easy to get started, we offer a free consultation and a free plan so you can see exactly what’s possible before you spend a single dollar.
Give us a call on (03) 7018 0761, drop us an email at sales@progressiveoffice.com.au, or come visit our showroom at 1 Forbes Close, Knoxfield VIC 3180. You can also reach us through the contact form.