20 November 2024

Understanding Office Fit-Outs: Meaning, Categories, and Costs

A 2024 report by global property consultant JLL found that office design trends are focused on hybrid workplace requirements, human experience, sustainability, and technology — each of which impacts the cost of office fit-outs. For those looking to transform an empty or existing commercial space into a fully functional office that meets their vision, such considerations may be overwhelming. As it is, the basics of office fit-outs can be quite a lot! 

We know this from personal experience with our clients, who often lean on our expertise to tackle some of the more complicated elements of an office fit-out. To help, we’ve put together a concise guide in which we cover the following:

• What is an office fit out?
• What does an office fit out include?
• What are the different categories of office fit outs?
• How much does an office fit out cost?
• Finding the right office fit out contractor for your project

Read on to learn everything you need to know to plan for a successful office fit-out.

What is an office fit out?

An office fit-out is the process of turning an empty or unfinished space into a functional office. Imagine walking into a new office building – it’s just a big, open, empty area with bare floors, walls, and ceilings. An office fit-out transforms that blank canvas into a workplace by adding everything you need to work, like walls to create rooms, flooring, lighting, air conditioning, furniture, and even the wiring for your internet and computers.

It’s like furnishing and decorating a new house, but for businesses, and it’s tailored to meet the company’s needs, style, and branding. The result is a fully equipped office where people can work productively.

What does an office fit out include?

An office fit-out typically involves the addition or installation of what is needed to turn a space into a working office. Think of it like setting up a new house – you start with the basics and then add the things that make it functional and comfortable.

Examples of such ‘basics’ include but are not limited to:

• Spaces: adding walls or partitions to create dedicated spaces such as meeting rooms, deep focus private offices, cubicles or open plan work areas, etc.

• Floors and ceilings: installing flooring such as carpets or tiles, and ceiling panels to provide a professional, polished finish.

• • HVAC: installing heating, ventilation, and air conditioning systems to ensure the office is a healthy and comfortable environment for working.

• Lighting and electrical: installing lights and power outlets, and providing wiring for computers, printers, and other office equipment.

• Furniture: adding desks, chairs, storage cabinets, and any other furniture or equipment employees may need to work.
• Decoration: Adding branding or design touches to make the space reflect the company’s identity or core values.

It’s all about creating an office space that looks good, works well, and fits the needs of the people using it.

What are the different categories of office fit-outs?

There are two different types of office fit-outs, but it is worth bearing in mind a third fit-out to understand the various stages a space goes through. These three types of fit-outs are:

• Shell and Core
• Cat A
• Cat B

We cover them in some detail in our guide to Cat A and Cat B fit-outs, but put simply, a shell and core fit-out is the first stage of a building when it is nothing more than the external structure or ‘shell’ along with ‘core’ services like connection to mains.

A Cat A office fit-out is the next stage which brings the space to a ‘white box’ state where it is empty but ready for use. This means floors, ceilings, HVAC, lighting and electrical have all been installed. A good example of a Cat A office fit-out is the work we did on a listed building in Old Broad Street, London. 

A Cat B office fit-out is the final stage which ensures the space is ‘turnkey’ or ready for use immediately. That means the space is fully furnished, finished, and decorated. We completed a Cat B fit out for the premium fashion brand Brunello Cucinelli, in Mayfair.

Often, landlords deliver a Cat A fit-out, while tenants are responsible for Cat B fit-outs to meet their commercial needs.

How much does an office fit-out cost?

‘It depends.’ When you’re looking for concrete details, this is obviously not what you want to hear. However, it is the truth. The cost of an office fit-out depends on a number of factors, and these include but are not limited to the following:

• Location
• Size
• Scope
• Quality of materials
• Process

Location can greatly influence cost. It will come as no surprise to learn that different areas within a city have drastically different costs. According to the JLL 2024 Fit-Out Cost Guide, fit-out costs are higher in the UK than in the rest of the EMEA, with total fit-out costs averaging:

(Please note, the figures provided above are by JLL for total fit-out costs £/sqm inclusive of AV, Data & SMART, professional fees and furniture. They are not representative of our costs. Contact us for a quote.)

Statista Research Department also published a report in 2024 in which they said, “fitting out an office space was most expensive in London, England, where it cost 2,629 euros [£2199.46] per square metre” with office furniture constituting about 18% of the figure. According to their methodology, “A complete office fit-out includes the transformation of an empty space into a suitable office environment, including the necessary structures, electrical furnishings, mechanical equipment, and furniture.”

The size and scope of the project is another major factor in determining the overall cost of the office fit-out. Does the project aim to build a new and high-spec space for a ‘shell’ or ‘white box’, or does it aim to refurbish an existing space to meet the developing needs of a business? 

The final influential factor is process. What we mean by this, in this context, is whether you opt for a design and build service, or a traditional procurement process. Again, we cover this in greater detail in our post on what is design and build, but in summary:

• The traditional procurement process requires a client to manage two or more separate contracts — one with a designer and one with a builder.
• The design and build process involves a single contract with a principal contractor who is responsible for the design phase and the construction phase and seeing the project through from start to finish.

Why is this important? The long and the short of it is with a design and build contractor, you are guaranteed greater cost certainty, streamlined project management, and a shorter timeframe for the project to be completed.

Finding the right office fit-out contractor

As we mentioned at the start of this post, there are plenty of factors to take into consideration when planning for an office fit-out. We’ve covered the basics here, though we have written about other aspects such as types of office layouts, office fit-outs for coworking spaces, and office designs post-Covid.

It’s important to remember, an office fit-out is more than just preparing a space — it’s about creating a productive working environment. As such, there is no one-size-fits-all approach to office design and office fit-outs. Engaging a professional office fit-out contractor can be a tremendous help in ensuring your vision for an office space can be met within your budget and means. 

At Eden London, we have over a decade as principal contractors and pride ourselves on:

• Completing 100% of our projects on-time and on-budget
• Being fully accredited
• And minimising our environmental impact to build for the future

If you’re ready to explore fit-out options or need further assistance, check out our case studies to learn more about our work, or contact us for an initial consultation.

“We have worked with Eden London on numerous projects ranging in value over the past 6 years. Their understanding of our needs, alongside their exceptional standard of finish and motivation to achieve amazing built environments for us as an organisation, makes each project we have worked alongside them effortless. Aside from their management of each site, budget and schedule, Eden London continues to put The Trust’s needs first and I would not hesitate in recommending them.”

Ben Roman, Head of Property, The Prince’s Trust