Office Refurbishment Budgeting Tips

Refurbishing your office can breathe new life into your workplace, but without a clear financial strategy, costs can quickly spiral. Careful budgeting is essential, not only to stay within financial limits but also to maximise value at every stage. In this article, we explore how to budget effectively for an office refurbishment, spotlighting hidden expenses and smart allocation strategies that prevent overspending.

Start with a Clear Brief

Before any budgeting begins, define the project’s scope. Are you refurbishing an entire floor or just upgrading key areas like meeting rooms or breakout zones? Clarifying the objectives early ensures the budget is realistic and aligned with your goals.

Your brief should include:

What areas are being refurbished
Expected timeline and delivery phases
Performance goals (e.g. improving collaboration or accommodating hybrid work)
Design expectations and brand integration

A clear brief allows accurate costing from the outset and prevents scope creep later down the line.

Set Your Budget — Then Add a Buffer

It’s wise to set an overall figure early, ideally informed by square footage and comparable past projects. However, refurbishment projects are rarely without surprises. Therefore, always build in a contingency of at least 10–15% of the total budget. This buffer will help cover unforeseen expenses like structural issues, material shortages, or regulatory upgrades.

Understand the Core Cost Areas

Every refurbishment will have a few major cost pillars. Typical categories include:

1. Design and Consultancy Fees

These cover workplace consultancy, space planning, architectural drawings, and any specialist advice such as sustainability or acoustic design. Working with experts ensures your budget is used effectively, aligning space with business goals.

2. Construction and Fit-Out

This is usually the most significant expenditure. It includes partitions, ceilings, flooring, lighting, HVAC (heating, ventilation and air conditioning), and plumbing. Labour costs can vary based on access and project complexity, especially if the work is phased while your team remains onsite.

3. Furniture and Equipment

Desks, seating, meeting booths, AV equipment, and kitchen facilities must be factored in. Bespoke or ergonomic furniture options tend to carry a premium, but they can also support long-term productivity and wellbeing.

4. IT Infrastructure

Modern workplaces rely on fast, secure technology. Refurbishment budgets must account for:

Structured cabling
Wi-Fi optimisation
Server room upgrades
Smart systems (e.g. lighting or desk booking)

5. Project Management

Whether internal or outsourced, project management is key to keeping the refurbishment on track. Budgeting for this role helps ensure timelines and costs stay under control.

Don’t Overlook These Hidden Costs

Many office refurbishment budgets fall short because hidden costs are missed. Here are some often-forgotten items to include:

Dilapidation costs: If you’re leasing, your landlord may require you to restore the space to its original condition
Temporary workspace or remote setup: Will your team need to relocate temporarily?
Storage and removal: Secure storage for furniture or equipment during works
Building regulations and planning approvals: These may involve fees or consultants
Out-of-hours work premiums: To minimise disruption, some works might be scheduled outside normal hours

These extra expenses can add up quickly, so they should be considered from the outset.

Financial Strategies to Maximise Value

Stretch your refurbishment budget further with these smart strategies:

Prioritise by Business Impact

If funds are limited, focus on refurbishing areas that influence productivity or client perception first—such as collaborative zones, reception areas or meeting rooms.

Consider a Phased Approach

Breaking the project into phases allows you to spread costs over time. It also provides flexibility to adjust plans based on outcomes or shifting business needs.

Opt for Sustainable Solutions

Energy-efficient lighting, recycled materials, and sustainable design choices may have higher upfront costs but can deliver operational savings over time. Explore our sustainability approach to see how we help clients futureproof their spaces.

Explore Leasing Options

Some furnishings, AV systems or technology infrastructure can be leased rather than purchased outright, freeing up capital for other areas.

Final Thoughts

Effective budgeting is the foundation of any successful office refurbishment. By taking the time to plan carefully, account for hidden costs, and make strategic financial decisions, businesses can transform their spaces without financial strain.

Working with an experienced partner like ADT Workplace ensures every penny of your budget is aligned to long-term value and performance. From early planning through to final delivery, our expert team is here to guide you every step of the way.

OFFICE REFURBISHMENT BUDGETING: ALLOCATING COSTS EFFECTIVELY