Spacez insight · March 2026 · 8 min read

How to Plan a Commercial Fitout in Melbourne: A Step-by-Step Guide

A practical guide to planning a commercial fitout in Melbourne — from lease negotiation to handover. Steps, timelines, costs, and what to do in what order.

How to Plan a Commercial Fitout in Melbourne: A Step-by-Step Guide

Planning a commercial fitout in Melbourne is more involved than most business owners anticipate when they first start the process. There are decisions to make before you sign your lease, a design process that takes longer than it looks, an approvals stage that has its own pace, and a construction programme that only starts when everything before it is complete.

This guide walks through the full process — step by step — so you know what comes when, who does what, and where the common mistakes happen.

Step 1: Decide What You Need Before You Look at Tenancies

The most common mistake Melbourne businesses make is finding a tenancy they like, signing the lease, and then starting to think about what they need from the space. This produces bad outcomes: you've committed before you know the cost, and you may have committed to a tenancy that can't deliver what you need.

Before you look at tenancies, define:

• Headcount — how many people now, how many in 2–3 years?
• Work modes — open plan, private offices, collaboration, video conferencing, client meetings?
• Meeting room requirements — how many, what sizes?
• Special requirements — reception, server room, kitchenette, end-of-trip facilities, storage?
• Budget — total project budget, not just rent. Include fitout, furniture, technology, moving costs.
• Timeline — when do you need to be in? Work backwards from that date.

With this brief in hand, a fitout company can review candidate tenancies with you and tell you which ones will work — and what each will cost.

Step 2: Review Tenancies Before Signing

Before you sign a commercial lease in Melbourne, get a fitout cost estimate. This is not a full design quote — it's a rough-order-of-magnitude based on the tenancy condition, size, and your brief.

What to check in a prospective tenancy:

Fit category. Is it bare shell (Category B), warm shell (Category C), or an existing fitout? This determines your fitout scope and directly affects cost. See our breakdown: office fitout vs refurbishment.

Services condition. How old is the HVAC? Is the electrical switchboard adequate? Is there sufficient data infrastructure? Old or undersized services add cost to any fitout.

Landlord approval process. How long does it take? Is the landlord a private individual or an institutional fund with a formal approval process? This affects your total project timeline significantly.

Heritage status. Is the building heritage-listed? This affects what external changes you can make and may impose design requirements.

Make-good obligations. What will you need to do at lease end? This is part of your total cost of occupancy — factor it in before signing.

Negotiate your fitout contribution. This is the time to negotiate a landlord contribution (TI allowance) toward your fitout. Once the lease is signed, this leverage is gone. See our guide on tenant improvement fitout Melbourne.

Step 3: Engage Your Fitout Company Early

Engage a fitout company — ideally a design-and-construct specialist — before you finalise your lease. Their input on the tenancy is valuable; their cost estimate is essential for your business planning.

Getting at least three quotes is good practice. See our guide on how to choose a commercial fitout company in Melbourne.

Once you've selected a fitout company, sign a design agreement or engagement letter. This formalises the relationship, confirms the brief, and starts the clock on the design process.

Step 4: Concept Design (2–3 Weeks)

Your fitout company produces an initial floor plan and design concept:

• Floor plan showing workstations, meeting rooms, kitchen, amenities, and circulation
• Design direction: material palette, finishes, aesthetic approach
• Initial cost estimate based on the concept

Your job at this stage: review, give feedback, and approve the concept. Decisions made here are cheap to change. Decisions deferred until construction are expensive.

Key decisions to make at concept stage:

• Overall floor plan and room layout
• Open plan vs private office balance
• Number and size of meeting rooms
• Reception and entry experience
• Kitchen specification

Step 5: Design Development (3–5 Weeks)

Once the concept is approved, the project moves into detailed design:

• Detailed floor plans, elevations, and reflected ceiling plans
• Joinery drawings (reception counter, kitchen, storage)
• Lighting design
• Mechanical, electrical, and hydraulic (MEH) design
• Structural drawings if required
• Specifications and finishes schedules

This is the documentation that goes to the building owner for approval and to the building certifier for the building permit. It needs to be complete and correct — approvals based on incomplete documentation come back with conditions that cause delays.

Avoid design changes after this stage. Once documentation is complete and submitted, changes cost time and money. The discipline is to get decisions made during Steps 4 and 5.

Step 6: Approvals (2–6 Weeks — Run in Parallel Where Possible)

Two separate approval processes typically run simultaneously:

Landlord / building owner approval. You submit your design documentation to the building owner or their property manager for review and approval. For private landlords: 1–2 weeks. For institutional owners (CBD and Southbank towers): 3–6 weeks. Be prepared to respond to comments and conditions.

Building permit. Your fitout company engages a private building surveyor (certifier) who reviews the documentation and issues a building permit. Melbourne building permit processing: 2–4 weeks for a straightforward commercial fitout.

A good fitout company submits both simultaneously and manages both processes. The goal is to have both approvals in hand before construction starts.

For high-rise Melbourne CBD buildings, there may be additional steps: fire engineering approval, sprinkler modification coordination, building services interface. These are managed by the fitout company but add time.

Step 7: Construction (4–10 Weeks)

Construction starts the day the building permit is issued and the site is available for access. The typical sequence:

Week 1–2: Demolition (if refurbishment), new partition framing, any structural works.

Week 2–4: Services rough-in — mechanical ductwork, electrical first fix, data cabling, hydraulic (plumbing).

Week 4–6: Lining — plasterboard to walls and ceilings, acoustic insulation, suspended ceiling installation, glazed partitions.

Week 6–8: Fit-off — joinery installation, electrical second fix, flooring, painting.

Week 8–10: Completion — carpet laying, final painting, furniture delivery, IT commissioning, defects rectification.

Construction duration scales with size:

• Under 150sqm: 3–5 weeks
• 150–400sqm: 5–8 weeks
• 400sqm+: 8–12 weeks

For the full breakdown, see our office fitout timeline guide.

Step 8: IT and Furniture (Plan from Day One, Deliver at Handover)

Two items that are often left too late:

IT and AV infrastructure. Your IT company needs to be involved during the design stage — confirming data point locations, server room specification, AV requirements in meeting rooms. Cable runs need to be in the walls and ceilings before they're lined. Leaving IT to the last week of construction is the most common cause of fitout delays and post-occupancy problems.

Furniture. Good commercial furniture has 6–10 week lead times. If you don't order at the start of construction, it won't arrive at handover. Work with your fitout company or a furniture supplier to confirm specifications and place orders during the construction phase.

Step 9: Practical Completion and Move-In

Practical completion is when your fitout company declares the space fit for occupation. It's not necessarily defect-free — there will be a defects list — but it's ready to use.

Before moving in:

• Walk through the space with your project manager and document all defects
• Confirm IT is commissioned (workstations working, internet live, video conferencing tested)
• Confirm mechanical is commissioned (HVAC running correctly, temperatures right)
• Receive as-built drawings, commissioning certificates, warranties and manuals

Move in. Your team occupies the space. The 12-month defects liability period begins.

Step 10: Settle In and Monitor

The weeks immediately after move-in surface issues that weren't apparent on day one:

• HVAC zones that need calibration (too hot, too cold, uneven distribution)
• Acoustic issues that become apparent once the team is working in the space
• Minor defects in joinery, flooring, or finishes
• Lighting that needs adjustment

Report defects to your fitout company. Under your contract, they're obligated to rectify during the defects liability period (typically 12 months from practical completion).

Full Timeline Summary

For a typical 200–400sqm Melbourne CBD or inner-suburb office fitout:

From engaging a fitout company to move-in: typically 16–25 weeks. Start earlier than you think you need to.

Frequently Asked Questions

What's the single most important thing I can do to ensure a successful fitout?

Start early. The most common cause of bad fitout outcomes in Melbourne is a compressed timeline — decisions get rushed, approvals get overlapped with construction, trades can't be properly sequenced. Give yourself time and the process works.

Should I engage an architect separately from my builder?

For most standard commercial fitouts, a design-and-construct fitout company handles both. For very large or architecturally ambitious projects, engaging a separate architect may be warranted. For the majority of Melbourne SME office, retail, and hospitality fitouts, D&C is more efficient and lower risk.

How do I avoid cost overruns?

Fix the scope before construction starts. The primary cause of cost overruns is scope changes during construction — decisions that weren't made during design, changes to joinery or finishes mid-build, additions that weren't in the brief. Invest time upfront in a thorough brief and design process.

What should be in the contract?

Fixed price, defined scope, exclusions list, programme with milestones, payment schedule, variation process, defects liability period, and insurance details. Read it before signing it.

Can I manage the fitout myself to save money?

You can, but for a commercial fitout of any complexity, self-managing is high-risk. Coordinating 8–12 trades, managing a building permit, navigating landlord approvals, and holding a programme together is a full-time job for someone who knows what they're doing. Most business owners who try it spend more than they save.

Ready to Start?

The best time to start planning a commercial fitout in Melbourne is before you need it. The second best time is now.

Talk to Spacez — we'll review your situation, advise on tenancy suitability, and give you a realistic picture of timeline and cost before you commit to anything.

Useful resources:

• Commercial fitout cost guide Melbourne
• Office fitout timeline Melbourne
• Commercial fitout checklist Melbourne
• How to choose a fitout company Melbourne