13 December 2024

Discover the cost of an office fit out, how different types of office fit outs impact your budget, and how new ways of working could save you money.

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How Much Does An Office Fit Out Cost?

Whether you’re moving into a new workspace or refurbishing an existing one, spending money on an office fit out is an expensive overhead for businesses. There are a number of factors to take into account that will affect the final amount, so putting a figure on average office fit out costs can be difficult. This guide delves into the different types of office fit outs, what to consider if you’re planning one, and the features that will impact the final cost.

What is an office fit out?

An office fit out is the process of designing and equipping an office space so that it’s functional, aesthetically pleasing, and aligned with a company's brand and culture. A good office fit out creates an environment that’s personalised to the specific needs of the business and its employees; an innovative marketing agency might need a completely different office fit out to a manufacturing firm, for example. It could mean a basic refresh of an existing unit or a total overhaul including a new layout, improvements to the construction, and installing necessary amenities such as lighting, flooring, and security systems.

Types of office fit outs

There are a few different approaches to fitting out an office, depending on the amount of work required, the standard expected and the desired features. These different types are usually put into three main categories:

1. Shell and Core Fit-Out

This initial phase of transforming an empty building shell into a functional office space includes basic tasks like installing utilities, lighting, ceilings, and floors. While it might be basic, it’s usually the most extensive and expensive type of fit out, requiring skilled labour to make the space hospitable.

2. Category A (Cat A) Fit-Out

A Cat A office fit out prepares a blank but functional space for businesses to customise later. It involves finishes such as suspended ceilings, raised floors, and lighting and heating systems. So, while the power supply might be installed, light fittings, radiators and other features won’t be.

3. Category B (Cat B) Fit-Out

Cat B office fit outs are executed when a tenant is ready to make the space personal to their business. Elements such as branding, partitions, bespoke furnishings, and the installation of IT and audio visual equipment start coming together to create the finished product.

How much does an office fit out cost?

In order to get a ballpark figure for an office fit out, it is usually calculated per square foot. So, the bigger the office space, the higher the price. As an estimate, you can expect to pay the following, depending on which type of fit out you are undertaking:

• Shell and Core Fit-Out - £50 - £100 per sq ft
• Category A Fit-Out - £25 - £40 per sq ft
• Category B Fit-Out - £45 £100+ per sq ft

There are a variety of factors that will impact these figures, such as the location of the office, the size of the space, and the standard of materials used.

What influences office fit out costs?

Making an office a workable and enjoyable place to spend time can be an expensive pursuit. It’s easy to see costs increase as the project progresses, but it’s also possible to manage your budget and reduce outgoings where possible. The main factors that will influence the final bill for an office fit out are:

1. Office Size

It’s a no-brainer that the size of the space directly impacts the overall cost. More materials, and the time and money spent on labour will bump up the total if you’re moving into a large office. If you also want separate meeting rooms and event spaces, again, you’ll need to factor this into the bill.

2. Location

Costs in central London and other major UK cities like Manchester tend to be higher due to increased demand for city centre offices and higher labour rates. Choosing somewhere a little more out of town can lower your office costs, but then you’ll lose the perks of having a central location.

3. Design

Depending on the spec you want, an office fit out can run into hundreds of thousands. Bespoke designs, premium finishes, and unique layouts will all add up. Incorporating branded elements or making room for collaborative spaces often means additional investment.

4. Sustainability

Creating an office with good sustainability credentials is not only the best option for the environment, but will also deliver cost savings in the future. The initial outlay needed for sustainable materials, energy-efficient lighting, and renewable energy sources will come with an increased price tag when you start your office fit out.

5. Building Regulations

If you’re only painting a few walls or doing a rewire, you might not need to even consider building regulations. For more rigorous office fit outs, you’ll need to make sure you’re meeting UK building regulations, such as fire safety, accessibility, and energy efficiency standards, which can add to the overall expense.

6. Technology

We’re not just talking about the cost of laptops and mobile phones; installing advanced IT systems, state-of-the-art AV equipment, and smart technology integration will significantly impact office fit out costs. For example, installing cloud-based communication systems or podcast equipment pushes up the budget.

Serviced offices from Colony Coworking

If the cost of an office fit out is overwhelming, then there is an alternative. Serviced coworking offices give businesses the space and privacy they need, with none of the huge costs of an office fit out and all the convenience of a turn-key workspace. Colony has multiple locations throughout Manchester City Centre, so you get a central postcode and all the bonuses of being in the heart of the city. Our leases and memberships include every essential you need to make the most of your day, whether you’re after a regular desk to work from or a totally private office.

Find out more about how a serviced office set-up could be the perfect solution for your business and how Colony coworking spaces can enhance your operations, maximise your output, and offer a great place to work.