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office fit-out and office refurbishment costs

Building Relocation, Office Refurbishment and Office Fit-out Data

Cost information is only a guide. Project costs vary and figures quoted above are averages. See our office design Portfolio section for more cost info....each project case study shows specific cost information.

2009 Office fit-out project costs are ranging from £45 psf for the office refurb in a logistics warehouse to £75 psf for a project that includes a significant upgrade to the building ventilation systems. A recently completed, high specification, project for Rio Tinto, at £62.50 psf, would have been at a higher cost, above £100 psf, but the project re-used a considerable amount of FF&E from an existing premises to achieve savings.

Certain projects involve a fit-out cost per square foot far higher than the typical range. IOR Group has completed schemes with costs in the region of £180 - £200 per square foot. Interior fit-out projects with this level of cost differ from regular office interior refurbishment in that the fittings, materials and furniture will be specified to the very highest standard, rather than usual commercial levels.

All figures quoted by IOR Group include Design, CDM & Building Regulation submissions, and project management...the figures are for complete start-to-finish projects.

Data quoted elsewhere.

Office Occupancy 

BCO, the British Council for Offices, quotes an office occupancy space of 107 sq ft per person average, whilst the Office for Government Commerce recommends an average figure of 110 sq ft per person.

These figures vary significantly from our average as they are likely to exclude offices with space for growth, whereas the IOR Group figures are based upon ratios at first occupation.

Put a different way, office fit-out and office refurbishment projects for new or vacant offfice space typically allow 30% room for growth. BCO and OGC figures refer to a full occupancy ratio....just before the occupier had to think about future property strategy!

For a structured approach to assessing how much office space is required when relocating, see our Building Assessment page.

Interior Fit Out Costs

Savills suggest a cost range for office fit-out costs of £40 - £60 psf for a basic specification, £60 - £80 psf for a mid-range scheme, £80 - £100 psf for a high quality project and £120 + for projects with outstanding design and quality. Typically these figures include professional fees for architects, external project management, QS and cost control that together account for the difference between IOR Group fit-out costs and the 'traditional' examples quoted by Savills.

Legal minimum office space per person.

Within the uk Building Regulations the section dealing with Fire Hazards (Part B of the Building Regs.) stipulates a minimum area of 6 square metres (64 sq feet) for each person in an office premises. This figure can be achieved by equating the total headcount against the overall net internal area (NIA) and so doesn't necessarily limit the space for a single person with a desk.

In practice offices will have a number of factors, mostly relating to Fire Escape but also the provisions of WCs, that have an impact on the legal maximum number of people accommodated within an office building.

In practice the legal minimum is typically lower than the practical occupancy level. Amongst the highest densities achieved by iorgroup is for Michael Page in Canary Tower at 96 sq ft per person. Several small projects have achieved density levels within the 85 - 90 sq ft range...but this is rare.

What lies ahead for occupancy ratios?

As mobile technology improves; as home working becomes more viable with bandwidth increases, and as part-time working becomes more widespread, so the need for one desk per person diminishes. Increasingly offices are moving towards a ratio of 7 or 8 desks for every 10 staff. The next question is then about saving money by reducing the overall space leased, or to give some of the space over to social and team purposes? One of the leading adopters of flexible working and shared desk allocation, CISCO Sytems, works on a ratio of 160 sq ft per person. Clearly they haven't used unallocated desks and mobile working as a cost-cutting measure. Instead they've used space to promote interaction, inspiration, and work zones to support teams, quiet working, noisy working...whatever is needed for the staff to be most effective.

For a more in-depth view on property strategy see our Property Strategy page.

Occassionally cost information is presented on a Square Metre basis. The ratio of square feet to square metres is approximately 10.7:1.

Office Fit Out Terminology - Cat A and Cat B

Cat A refers to the fit-out or refurbishment undertaken by a Landlord. Typically this will include suspended ceilings and lighting, a raised floor with carpet, air conditioning, sometimes a degree of local power within the open floor area, and sometimes a teapoint with plumbing. Showers and WCs are usually included within the base build. Cat A also descibes the quality of the Landlords fit-out, with a level that is commensurate with a building at the upper end of the local rental value for the location.

Cat B is the Tenant fit-out, covering partitions, data, features and infrastructure unique to the occupier.