A commercial fitout in Sydney costs between $800 and $3,500 per square metre in 2026 for most projects, with premium and specialist work reaching $7,200. Sector moves that rate further than floor area does. Published cost guides disagree by a factor of twenty because they price different scopes under the same unit, not because the Sydney market is unpredictable.
Tau Constructions delivers commercial fitouts across Sydney in occupied buildings, heritage stock and live tenancies. This guide sets out what the rate covers, what it leaves out, and which building conditions decide where a project lands inside the range.
Commercial Fitout Cost in Sydney: Rates Per Square Metre
Commercial fitout rates in Sydney are quoted per square metre against a specification level, and the specification sets the starting band.
| Fitout tier | Rate per sqm | What the rate covers |
| Cosmetic refresh | $800 to $1,200 | Paint, floor coverings, minor partitioning, existing services retained |
| Mid range | $1,500 to $3,000 | New partitions, upgraded mechanical and electrical services, data, standard joinery |
| Premium | $3,000 to $7,200 | Bespoke joinery, feature ceilings, acoustic treatment, full services redesign |
Sector shifts the rate more sharply than tier alone.
| Sector | Sydney rate per sqm | What drives the difference |
| Warehouse and industrial | $350 to $1,200 | Minimal services, high ceilings, simple access |
| Office | $1,500 to $2,500 | Partitioning density, data, mechanical zoning |
| Retail and shopfront | $1,000 to $3,000 | Shopfront glazing, display joinery, lighting |
| Education | $1,500 to $3,000 | Acoustics, accessibility, durability |
| Medical and healthcare | $2,500 to $4,000 | Infection control, specialist services, certification |
| Hospitality | $2,800 to $5,000 | Commercial kitchens, exhaust, grease arrest, hydraulic load |
Hospitality carries the highest rate of any mainstream sector because kitchen services, exhaust and hydraulics dominate the budget before a single finish is selected. The Level 18 rooftop restaurant fitout at Kiln ran to $4.5 million on a single floor, with retractable rooftop louvres and full services coordination.
Floor area works against smaller tenancies. Site establishment, hoarding, supervision, access approvals and certification cost close to the same on 150 square metres as on 800. A tenancy under roughly 300 square metres carries a materially higher rate per square metre for that reason.
Why Two Quotes for the Same Space Differ by Thousands Per Square Metre
Published Sydney fitout rates run from under $500 to over $7,000 per square metre because each source prices a different scope under the same unit of measure.
| Rate source | Usually includes | Usually excludes |
| Global property consultancy benchmark | Construction, consultant fees, project management, contingency, often technology and furniture | Landlord works, relocation, downtime |
| Builder or contractor rate | Construction and preliminaries only | Consultants, approvals, technology, furniture, relocation |
| Directory or aggregator band | A blended average of the two above | A stated methodology |
Consultancy benchmarks place a moderate quality Australian office fitout near $3,011 per square metre, and Sydney specifically near $2,599. A Sydney builder quoting the same work at $1,400 per square metre is not undercutting the benchmark. That builder is quoting construction only, and the consultant fees, project management, contingency and technology sit outside the number.
Before comparing two figures, confirm two things. First, whether each rate is construction-only or all-in. Second, whether both cover the same fitout category. Two quotes that fail either test are not comparable, and the cheaper one is usually the narrower scope.
Where the Money Goes Inside a Fitout Budget
Mechanical, electrical and hydraulic services consume the largest single share of a commercial fitout budget in Sydney.
| Element | Published rate |
| Services upgrade, mechanical, electrical and data | $400 to $900 per sqm |
| Suspended ceiling, supply and install | $50 to $150 per sqm |
| Glazed office partitioning | $300 to $600 per lineal metre |
| Plasterboard office partitioning | $60 to $90 per lineal metre |
| Joinery and custom cabinetry | $8,000 to $25,000 per package |
| End of lease make good | $150 to $800 per sqm |
The services line explains the whole cost question. At $400 to $900 per square metre, services alone can absorb more than half a cosmetic refresh rate. That is why the condition of the existing services, rather than the finish schedule, decides the budget on most Sydney tenancies.
Why Two Identical Fitouts Cost Different Amounts
Specification sets the base cost. The building sets the difference between the base cost and the final cost. Two tenancies with the same area, the same layout and the same finish schedule price differently for the reasons below.
Base building services capacity
Electrical supply, switchboard capacity, air conditioning tonnage and hydraulic capacity are fixed by the building, not by the design. A brief that adds density, a server room or a commercial kitchen can exceed what the base building carries. The upgrade then sits inside the fitout budget, and in older stock it can outweigh every finish decision on the project.
Fire and essential services condition
Sprinkler layout, detection and egress are set against the existing approved configuration. New partitions that change compartmentation or occupant density trigger obligations under the National Construction Code, alongside accessibility requirements under AS 1428. Certification of essential services is a priced line item, not an administrative step at the end.
Building grade, floor level and access
Premium and A grade towers carry design guidelines, base building standards and management regimes that B and C grade buildings do not. Loading dock bookings, restricted lift access and floor level all change the labour hours needed to move the same volume of material. A Level 18 tenancy and a ground floor tenancy of identical area carry different construction costs.
Working in an occupied building
Tenancies inside operating buildings restrict work to evenings, weekends or staged windows, and after hours labour attracts a premium. Noise and dust management, out of hours supervision and staged handover all add cost. Sequencing a refurbishment around a working business is the single most underestimated cost driver in Sydney tenancy work.
Older stock, heritage fabric and latent conditions
Buildings constructed before 2004 require a hazardous materials survey, and asbestos removal is licensed work with its own programme impact. Heritage listing restricts fixing methods, penetrations and material selection. Concealed structure appears once demolition starts. Sydney CBD carries substantial heritage and pre-2004 stock, and remediation of that stock is priced separately from the fitout it enables.
What a Per Square Metre Rate Excludes
A construction rate covers the build. Five cost categories sit outside it.
- Professional: Design, engineering, certifier and project management fees.
- Statutory: Development application or complying development certificate, authority charges, essential services certification.
- Technology: Structured cabling, AV, security systems, meeting room technology. Commonly adds 5 to 15 percent.
- Occupancy: Loose furniture, specialist and kitchen equipment, relocation, storage, and trading downtime during works.
- Financial: Contingency, GST and holding costs across the programme.
Approvals and soft costs together add 10 to 25 percent on a typical Sydney project. A contingency of 10 to 20 percent against the construction sum is standard, and the upper end applies to older buildings where latent conditions are likely.
Cat A and Cat B: Who Funds Which Part of the Fitout
Fitout cost splits across two categories, and the lease decides who funds each.
Cat A delivers the tenancy to a usable base standard: services distribution, ceilings, basic finishes and lighting. Landlords usually fund it, and it prices at $800 to $1,500 per square metre.
Cat B is the tenant layer built on top: workstations, meeting rooms, joinery, branding and any specialist requirement. Tenants usually fund it, offset against a fitout contribution or rent free period negotiated in the lease.
Two quotes are not comparable unless both name the same category. A Cat B rate compared against a Cat A rate produces a difference that has nothing to do with either builder.
What Moves a Fitout Price After the Contract Is Signed
Fitout prices move after signing for three reasons, and all three are visible before tender.
Undefined scope is the first. Latent conditions in older buildings are the second, and hazardous materials, concealed structure and non-compliant existing work sit in that group. Client-driven changes are the third.
The control is documentation. A scope defined before the quote is issued removes the ambiguity that variations are priced against. Contract model matters alongside it. A lump sum contract under AS 4000 places price risk with the builder. A cost plus arrangement leaves it with the client.
Price Your Sydney Fitout Against the Building, Not a Benchmark
Benchmark rates size a budget. They do not price a tenancy. The difference between the two is the building, and that difference is only visible on site.
Tau Constructions has delivered fitout, refurbishment and remediation work across Sydney for more than 20 years, including hospitality fitouts, heritage façade retention and live environment upgrades. Our director led team assesses the base building before quoting, so the number reflects the tenancy rather than a national average.
Talk to Tau about your Sydney fitout and get a figure grounded in the building you are taking on.
Commercial Fitout Cost FAQs
What is the average commercial fitout cost per square metre in Sydney?
Most Sydney commercial fitouts price between $800 and $3,500 per square metre in 2026. Office work centres on $1,500 to $2,500, with consultancy benchmarks placing all-in Sydney office fitout near $2,599 per square metre.
Why is a hospitality fitout more expensive than an office fitout?
Hospitality carries commercial kitchen equipment, exhaust and grease arrest, heavy hydraulic and mechanical loads, and health approvals that run in parallel with construction. Those services are priced before any finish selection, which lifts the base rate above office work.
Is GST included in a commercial fitout quote?
Quotes vary, so confirm it in writing. Businesses registered for GST can claim input tax credits, which lowers the net cost against the headline figure. Your accountant can confirm the treatment for your circumstances.
Does the landlord pay for any of the fitout?
Landlords commonly fund the Cat A base fitout and offer a contribution or rent free period toward Cat B. These are negotiated as part of the lease, so raise them before signing rather than after.
How much contingency should a fitout budget carry?
Allow 10 to 20 percent against the construction sum. Newer buildings with sound services sit at the lower end. Pre-2004 stock, heritage buildings and occupied tenancies sit at the upper end because latent conditions are more likely.
How long does a commercial fitout take in Sydney?
Design and approvals typically run four to six weeks, with construction from six to twelve weeks depending on scope and services. Occupied buildings extend the programme through staged works and restricted after hours access.
