Guides/Commercial Fit-Out Cost
Cost Guide · Updated 2025

Commercial Fit-Out Cost Guide 2025

Commercial fit-out costs in Hertfordshire and North London range from £30 per sq ft for a basic shell-and-core handover to £150 per sq ft or more for a high-specification retail or hospitality fit-out. This guide breaks down costs by fit-out type, explains what drives the budget, and gives you realistic figures for planning your project.

£30–£60
Shell & Core (per sq ft)
£45–£75
CAT A (per sq ft)
£60–£120
CAT B (per sq ft)
£50–£150
Retail (per sq ft)

Understanding Commercial Fit-Out Categories

Commercial fit-outs are categorised by the level of work involved. The industry uses a standard classification — Shell & Core, CAT A, and CAT B — to describe the state of a space at different stages of fit-out. Understanding these categories is the starting point for any commercial fit-out budget.

The costs below are based on TCM's experience of commercial fit-out projects in Hertfordshire and North London, updated for 2025 material and labour costs. They are indicative figures — actual costs depend on the specific requirements of your project, the condition of the existing space, and the specification you choose.

Shell & Core
New-build commercial units before any tenant work
£30–£60 per sq ft
Indicative 2025 cost

The base building as delivered by the developer — structural frame, external envelope, and core services only. No internal partitions, no finishes, no mechanical or electrical fit-out beyond the main risers.

Structural frame and external walls
Roof and weathertight envelope
Main electrical and mechanical risers
Lift shafts and stairwells
No internal partitions or finishes
CAT A
Landlord fit-outs for speculative office space
£45–£75 per sq ft
Indicative 2025 cost

A basic fit-out to a lettable standard. Raised access floors, suspended ceilings, basic lighting, air conditioning distribution, and toilets are installed. The space is ready for a tenant to add their own fit-out.

Raised access floors
Suspended ceilings with recessed lighting
Air conditioning distribution
Toilet cores and welfare facilities
Basic electrical distribution
No workstations, partitions, or branding
CAT B
Tenant fit-outs for occupied office space
£60–£120 per sq ft
Indicative 2025 cost

A full occupier fit-out on top of a CAT A base. This includes partitioned offices, meeting rooms, reception areas, kitchen and breakout spaces, IT infrastructure, furniture, and all branding and finishes.

Partitioned offices and meeting rooms
Reception and breakout areas
Kitchen and welfare facilities
IT infrastructure and AV systems
Furniture and workstations
Branding, signage, and decorative finishes
Retail Fit-Out
High street retail, showrooms, and food-to-go units
£50–£150 per sq ft
Indicative 2025 cost

Fit-outs for retail units vary considerably depending on the brand standards required. A basic retail fit-out covers flooring, lighting, and display fixtures. A high-specification retail fit-out includes bespoke joinery, specialist lighting, and full brand implementation.

Flooring and wall finishes
Display fixtures and shelving
Specialist lighting schemes
Signage and branding
Till points and service counters
Refrigeration and food service equipment (hospitality)

What Drives Commercial Fit-Out Costs

The cost per square foot figures above are starting points. The actual cost of your fit-out depends on a combination of factors that can push the budget significantly above or below the indicative range.

Cost FactorImpact on Budget
Floor areaThe single largest driver of cost. Economies of scale apply — cost per sq ft typically falls as floor area increases.
Specification levelThe quality of materials, finishes, and mechanical and electrical systems has a significant effect on cost. A basic CAT B fit-out and a high-specification fit-out for the same floor area can differ by 50% or more.
Condition of existing spaceA CAT A space requires less preparatory work than a shell-and-core unit or a space being refitted from an existing occupier's layout. Strip-out costs add £5–£15 per sq ft on top of the fit-out cost.
Building servicesMechanical and electrical works — HVAC, lighting, power, data, fire detection — typically account for 30–40% of a CAT B fit-out cost. Older buildings with outdated services can push this higher.
LocationLabour costs in Hertfordshire and North London are broadly comparable. Central London rates are 20–30% higher. TCM's Borehamwood base means competitive rates across Hertfordshire.
ProgrammeA compressed programme requiring weekend working or extended hours increases cost. A realistic programme with adequate lead times for materials and specialist trades reduces it.

Typical Commercial Fit-Out Programme

A typical CAT B office fit-out for a space of 2,000–5,000 sq ft takes 10–16 weeks from construction start to handover. The design and procurement phase before construction begins adds a further 4–8 weeks. Plan for 14–24 weeks from brief to occupation for a project of this scale.

1
Design & Planning
4–8 weeks

Space planning, design development, M&E design, and procurement of long-lead items

2
Enabling Works
1–2 weeks

Strip-out of existing fit-out, asbestos removal (if applicable), and structural alterations

3
First Fix
3–6 weeks

Partitioning, first fix electrical and mechanical, raised floors, and ceiling grid

4
Second Fix
2–4 weeks

Second fix electrical and mechanical, suspended ceilings, plastering, and joinery

5
Finishes & Furniture
2–3 weeks

Flooring, decorating, kitchen installation, furniture delivery and installation

6
IT & Commissioning
1–2 weeks

IT infrastructure, AV systems, commissioning of M&E, and snagging

Mechanical & Electrical Costs in Commercial Fit-Outs

Mechanical and electrical (M&E) works typically account for 30–40% of a CAT B fit-out budget. This is the area where costs can vary most significantly depending on the condition of the existing building services and the specification required.

A modern office building with a recent CAT A fit-out will have a functioning HVAC system, adequate power distribution, and a working fire detection system. A CAT B fit-out on top of this base involves distributing services to the new layout — adding fan coil units, power and data outlets, and extending the fire detection system to cover new partitioned spaces.

An older building with outdated services may require a full M&E replacement as part of the fit-out. This can add £20–£40 per sq ft to the budget and should be identified during the survey stage before any costs are agreed.

Frequently Asked Questions

Related Guides & Services

Planning a Commercial Fit-Out in Hertfordshire?

TCM provides free site surveys and detailed cost plans for commercial fit-outs across Hertfordshire and North London. Contact us to discuss your requirements.