APAC Office Fit Out Cost Guide 2023

First page 1 Next page Last page

Cushman & Wakefield’s Office Fit Out Cost Guides provide an indication of the fit out construction costs for occupiers across key cities around the world. Whether it’s a basic, collaborative, or advanced hybrid fit out requirement, these Guides compiled by our Project & Development Services team serves to assist occupiers in defining their capital planning and relocation budgets.

OFFICE ASIA PACIFIC

FITOUT COST GUIDE 2023

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

INTRODUCTION

The past 12 months have, again, proven to be turbulent. Although the public health impacts of COVID-19 have receded, the macro-economic impacts continue to exert myriad pressures on the global system, which has been exacerbated by heightened geo-political issues emanating out of Europe. With this, uncertainty continues to abound and capital expenditure budgets remain under close scrutiny. Notwithstanding and more positively, we continue to see progress across a range of other metrics. Most, if not all, major companies have adopted some form of hybrid working model, often in response to employee expectations of increased workplace flexibility, which then helps inform how these companies envisage and use their office space. Similarly, sustainability targets are increasingly becoming the norm, as are more visible practices to foster and promote diversity, equity, and inclusion (DE&I). The role of technology has never been more important – both as an enabler of change and as a means of measuring the impacts of change. Together, these factors mean that the fitting out of office space goes beyond how the space looks, to include how the space contributes to a company’s financial, social, and sustainability goals whilst also reflecting corporate brand and culture. In this guide, we cover 32 key cities across Asia Pacific, and a comprehensive fit out cost section covering furniture, mechanical & electrical works, builder works, audio visual/ IT, and other miscellaneous costs. Whether it’s a first generation fit out for hybrid working or a more advanced evolution in workplace strategy, a retrofit or reinstatement, this guide serves to assist occupiers in defining their capital planning and relocation budgets.

Cushman & Wakefield

C&W Services Singapore Office

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

MARKET REVIEW & OUTLOOK

KEY HIGHLIGHTS

Consequently, commodities pricing has declined from the peaks seen in 2022, which has reduced pressure on energy and fuel pricing. Supply chain stress is easing (Figure 1), together with the declining cost of shipping, is flowing through to lower producer price inflation in Asia Pacific, which has declined from a peak of over 10% to sit at below 4% as at Q4 2022. However, the majority of these indicators still sit above their long-term averages and so core inflation (removing the more volatile items) is proving sticky, while labour markets across the majority of the region remain uncomfortably tight. This means further rate rises are practically inevitable, which will stymie economic growth in the near term. At the global level, this means growth slowing from 3.0% in 2022 to 2.0% in 2023, with the U.S. and Europe likely to dip into mild recession s.

The past 12 months have proven to be yet another turbulent year. While the public health impacts of the COVID-19 pandemic have lessened as a greater proportion of the population has been vaccinated, the economic impacts of record fiscal stimulus and stressed supply chains are now being felt more acutely. The Russia-Ukraine conflict has had an immeasurable toll on the local Ukrainian population, which needs to be acknowledged first and foremost, though has exacerbated rampant cost pressures. The result being that from an economic view, all eyes are on inflation and therefore also on interest rates and their impact on global economic growth. Within this, there are a number of factors to reconcile. In fundamental terms, the impacts from central banks raising interest rates and therefore trying to take excess demand out of the system are starting to take effect. Headline inflation in many economies has peaked or is close to peak – noting that inflation pressures came to Asia Pacific later than Europe and the U.S., and for the most part have been less severe.

In contrast, economic growth in Asia Pacific is forecast to be stronger in 2023 than 2022 at 3.8% compared to 3.2%, mainly due to recovery in Mainland China. Demand is expected to recover more strongly in India in 2024, helping to drive regional growth to 4.9%. Once again, Asia Pacific is forecast to recover from a downturn earlier than other regions, and occupiers should keep an eye on the trajectory of this rebound. absorption across the region’s top 25 markets estimated at 65 million square feet (msf), up 3% from 2021. In part this has been due to strength across markets in India, with further support from across Southeast Asia. However, for the most part, office markets remain in favour of occupiers and as a result, market rents have not kept pace with inflation, remaining largely flat over the past year. Given the choppy economic outlook, the regional office market is expected to track mostly sideways over the year ahead. This translates to office demand of approximately 71msf, up 9% year-on-year as the recovery in China gathers momentum, but rental growth is likely to remain sluggish and well below current levels of inflation in most markets as forthcoming supply, delayed from during COVID-19, is finally brought to market. This potentially provides occupiers with a window of opportunity to capitalise on softer market conditions before stronger growth resumes. Turning to the office market, regional office demand has remained robust, with net

Supply chain stress easing as COVID-19 impacts lessen and demand declines.

Inflationary pressure at or near peak but will take time to fully abate.

Slow economic growth over the year ahead, but for Asia Pacific to rebound earlier than other regions.

Labour supply shortages to endure over the near-term.

Office demand to remain robust, though economic volatility and uncertainty are likely to delay occupier decision making.

FIGURE 1:

SUPPLY CHAIN STRESS IN CHINA AND THE U.S.

60 70 80 90 100 110 120 130 140 150 160

More stressed than pre-pandemic

Less stressed than pre-pandemic

China

United States

Source: Moody’s Analytics

Cushman & Wakefield

Cushman & Wakefield Singapore Office

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

A FOCUS ON PRICING

Furthermore, labour markets remain tight. Across the region’s 14 major markets, over half are at or below average unemployment rates from the 2019 period, while the remainder are less the 70 basis points above that reference period. The situation is forecast to only change modestly over the year ahead, which will keep pressure on labour availability and wage pricing. Indeed, this is where there remains significant cost pressure with real wage increases (accounting for inflation) increasing year-on-year by up to 9% in 2022 and 10% in 2023. In line with this, fit out costs across the region have risen by an average 18% in local currency but just 7% in U.S. dollar terms, mainly as a result of the recent strength of the U.S. dollar. Larger percentage increases are seen for reinstatement and retrofit costs, but these are off a much lower base. It should be noted that these figures are an average across the region and considerable variability exists at the market (and individual project) level. However, there has been positive impact – while fit out costs in Indian rupees have increased year-on-year, in U.S. dollar terms, costs have actually decreased (by circa 4%), further underscoring the attractiveness of the market.

Throughout 2022, inflation has proven to be more persistent tha n many economists originally envisaged. This has inevitably forced pricing higher, with sharp increases in fuel costs being one of the main underlying drivers as increased transport costs have added to pricing all along supply chains. For the most part, prices for key commodities have declined from their peaks – global oil prices are down approximately 20% from June 2022, though energy pricing is down marginally less. Metals pricing (including aluminium, copper, tin and lead) are down by a similar 23% in aggregate, while timber pricing has eased 14%. Perhaps more tellingly, the Baltic Dry Index, which is a measure of the cost to bulk-transport dry materials, has eased 59% from its 2021 peaks, which has become evident in shipping costs from the east coast of the U.S. to East Asia and from Europe to East Asia declining by approximately 52% and 55% respectively from their peaks. Notwithstanding this welcome relief, the majority of pricing still remains above longer-run averages (Figure 2).

There has been positive impact – while fit out costs in Indian rupees have increased year-on year, in U.S. dollar terms, costs have actually decreased (by circa 4%), further underscoring the attractiveness of the market.

FIGURE 2:

INDEXED MATERIAL PRICING (Q4 2019 = 100)

250

200

Energy

150

Oil Metals

100

Q4 2019

Q1 2020

Q2 2020

Q3 2020

Q4 2020

Q1 2021

Q2 2021

Q3 2021

Q4 2021

Q1 2022

Q2 2022

Q3 2022

Q4 2022

Source: Moody’s Analytics

Cushman & Wakefield

Cushman & Wakefield Seoul Office

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

AVERAGE COST (USD PER SQ FT)

RANK REGION

CITY

AVERAGE OFFICE FIT OUT COSTS IN 32 CITIES ACROSS ASIA PACIFIC

NORTH ASIA

TOKYO

201

NORTH ASIA

OSAKA

196

NORTH ASIA

NAGOYA

192

AUSTRALIA & NEW ZEALAND

CANBERRA

164

NORTH ASIA

SEOUL

156

AUSTRALIA & NEW ZEALAND

AUCKLAND

151

AUSTRALIA & NEW ZEALAND

SYDNEY

146

196

OSAKA

NORTH ASIA

BUSAN

143

SEOUL

BEIJING

120

AUSTRALIA & NEW ZEALAND

MELBOURNE

143

156

201

10 GREATER CHINA

HONG KONG

140

TOKYO

BUSAN

143

SHANGHAI

114

AUSTRALIA & NEW ZEALAND

BRISBANE

139

192

DELHI

NAGOYA

12= AUSTRALIA & NEW ZEALAND

ADELAIDE

134

SHENZHEN

GUANGZHOU

115

TAIPEI

119

116

12= AUSTRALIA & NEW ZEALAND

PERTH

134

KOLKATA

HANOI

HONG KONG

140

12= SOUTHEAST ASIA

SINGAPORE

134

MUMBAI

GREATER CHINA

BEIJING

120

HYDERABAD

PUNE

MANILA

BANGKOK

GREATER CHINA

SHENZHEN

119

CHENNAI

HO CHI MINH CITY

BENGALURU

GREATER CHINA

TAIPEI

116

KUALA LUMPUR

GREATER CHINA

GUANGZHOU

115

SINGAPORE

134

GREATER CHINA

SHANGHAI

114

20 SOUTHEAST ASIA

MANILA

JAKARTA

SOUTHEAST ASIA

BANGKOK

SOUTHEAST ASIA

KUALA LUMPUR

SOUTHEAST ASIA

JAKARTA

24 INDIA

MUMBAI

SOUTHEAST ASIA

HANOI

139

BRISBANE

INDIA

DELHI

134

PERTH

AUCKLAND

SOUTHEAST ASIA

HO CHI MINH CITY

ADELAIDE

134

146

SYDNEY

164

151

INDIA

HYDERABAD

CANBERRA

143

MELBOURNE

29= INDIA

BENGALURU

29= INDIA

KOLKATA

29= INDIA

PUNE

AVERAGE OFFICE FIT OUT COST (USD PER SQ FT)

INDIA

CHENNAI

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

HOW DO WE CLASSIFY FIT OUTS?

BEST-IN-CLASS OFFICE FIT OUT REQUIREMENTS Occupiers continue to wrangle with complex issues across several fronts. Three years on, occupiers are still trying to fully comprehend the impacts of new flexible working practices on their space requirements as well as fit out design to boost collaboration and innovation while also providing space for individual focused work. Furthermore, additional sustainability as well as DE&I criteria are commonplace across new fit outs as corporates strive to meet their stated goals. Best-in-class fit outs now need to simultaneously consider four key factors: workplace strategy and change management, sustainability, procurement, and technology. In this way, occupiers are increasingly favouring a “design and build” approach to provide a holistic, turn-key solution to their fit out.

BASIC HYBRID

1 2 3 10

X One-to-one assigned workstations supplemented with additional spaces for group work X Some flexibility to address post-pandemic work styles X Support functions limited to basic pantry area, generic meeting rooms and limited drop-in collaborative spaces

COLLABORATIVE HYBRID

X Mixture of one-to-one assigned workstations with zones of non-assigned work-points X Flexible working practices have been adopted post-pandemic X Support functions include an expanded break-out area, a variety of meeting rooms, and dispersed collaborative spaces X More than 50% of the space is allocated to dedicated workstations

ADVANCED HYBRID

X Post-pandemic destination office with more than 50% non-assigned workstations and work-points X Heavily tech-enabled spaces with frictionless audio-visual connectivity X Support functions include multi-functional break-out area, a variety of meeting rooms, dispersed collaborative spaces augmented with specialist lifestyle elements such as library, focus and relaxation zones X Client-facing areas have hospitality look and feel

Cushman & Wakefield

Cushman & Wakefield Singapore Office

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

SUSTAINABILITY

Sustainability has risen to the forefront of corporate thinking across practically every aspect of operations. For some corporate occupiers, especially in the manufacturing sector, their real estate portfolio may represent a comparatively small component of their total carbon footprint, while for professional service providers it’s usually much higher. Regardless, a return to basic principles: reduce-reuse-recycle should prevail. Despite many markets across Asia Pacific having comparatively youthful Central Business Districts (CBDs) and therefore modern buildings that adopt the latest design concepts, with the notable exception of Singapore and Australia, the region lags in not only building accreditation but also space accreditation. As multinational companies, especially those headquartered in the U.S. and Europe continue to expand across the region, they will increasingly seek out space that has been independently verified to meet their stated sustainability requirements and so contribute to their wider corporate goals. Aside from targeting higher quality, more efficient buildings, there is an abundance of opportunities that can be pursued. Maximising natural light to minimise artificial lighting, using environmentally friendly materials for flooring, partitioning and furniture, introducing biophilia into the design, sourcing renewable energy providers, and adopting waste reduction measures are but a few. Intelligent space booking systems and sensors can also close off unrequired space to minimise heating, ventilation and air-conditioning (HVAC) and lighting requirements at times of low occupancy.

C&W Services Singapore Office

WORKPLACE STRATEGY & CHANGE MANAGEMENT

It is widely appreciated that the role of the office is changing. The common approach is to occupy a higher quality, but smaller amount of space that then has flexibility built into the fit out and then leveraging building amenities to enhance employee experience. This not only helps with achieving sustainability and wellness targets, but also helps minimise operational expenditure increases. Proprietary data from Cushman & Wakefield’s bespoke workplace strategy tool, Experience per Square Foot TM , has shown that the role of the office is increasingly focused on collaboration, innovation and social connection. However, at the same time employers should not ignore that focused work continues to be done in the office, which for most employees is still approximately half of their working day.

This means the office needs to remain a dynamic environment, which is most readily seen through creating multi-functional spaces, such as using modular & flexible furniture to allow a variety of layout configurations that best fit the different activities, as well as implementing digital booking systems to secure collaborative or quiet spaces. Occupiers at the leading edge are making this shift through a combined approach of updated workplace policies, innovative office design, and thoughtful change management programmes.

Cushman & Wakefield Hyderabad Office

It is pivotal to recognise that the move to hybrid, or flexible, working requires a fundamental shift in understanding how work is done, not just where it is done.

Employee wellness and environmental sustainability are incredibly symbiotic and so positive outcomes from both should not be viewed in isolation.

Carol Wong Total Workplace Lead Asia Pacific

Matthew Clifford Head of Sustainability & ESG Asia Pacific

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

Cushman & Wakefield Singapore Office

PROCUREMENT

TECHNOLOGY

As highlighted above, technology can also contribute to sustainability goals through smart systems, sensors and energy efficient appliances. However, it goes further. A shift to cloud computing now allows for smaller server rooms, which therefore require not only less space, but also less cooling systems. Similarly, asset sensors can alert facilities managers when preventative maintenance is due to help prevent system failures.

It also includes the notion of “social procurement” – using buying power to produce social benefits over and above the value of the goods or service. In its simplest form, this could be “buying local”, though heightened government regulation and corporate responsibility go beyond this to procure goods and services from marginalised groups or engage social benefit suppliers in their supply chains.

Supply chains and therefore by proxy, procurement, have come increasingly under the spotlight since the onset of the COVID-19 pandemic. This has been primarily driven by increased supply chain stress, causing not only project timing delays through bottlenecks, but also budgetary pressures associated with scarcity of product and higher transport costs. Accordingly, there is increasing financial pressure to target shorter supply chains, but the gains can extend well beyond financial benefit. The pandemic has also led to changes in design preferences for commercial spaces, with a greater emphasis on hygiene and social distancing measures. This can require changes to the design and layout of commercial interior fit outs, which can also impact availability of suppliers, project timelines and costs. Specifically, re-evaluating supply chains can feed directly into achieving both Environmental, Social and Governance (ESG) goals as well as Corporate Social Responsibility (CSR) goals. This means sourcing environmentally friendly materials closer to home, ideally within an environmentally efficient supply chain, which can also assist with reducing Scope 3 emissions.

Within the new design paradigm that focuses on employee experience, productivity and wellness together with environmental sustainability, technology plays a more integral role than ever. Technology now runs through all aspects of office fit outs, and it is for this reason there has been an increase in the proportion of fit out budgets allocated to technology. On-site demands include the need for space booking systems, as well as the latest tools to facilitate collaboration and connection. However, the closer focus on DE&I also means creating an equality of experience no matter how, where, or when employees choose to work. Alongside this, the increasing proportion of Generation Z (born 1997-2012) in the workplace, who are “digital natives”, will increasingly expect effortless connectivity. Further consideration needs to be given to charging devices and whether this occurs through static (fixed power points) or mobile charging practices or a combination of the two. Ultimately, this means connecting the human experience to the digital experience and the building experience.

Re-evaluating supply chains can feed directly into achieving both ESG goals as well as CSR goals. This means sourcing environmentally friendly materials closer to home, ideally within an environmentally efficient supply chain, which can also assist with reducing Scope 3 emissions.

The key message here is that technology is not only an enabler of change, but also a way of measuring the impacts of that change and should be deployed as such.

Nitasha Sreekumar Technology Lead Asia Pacific

Tim Foster Head of Supply Chain & Logistics Advisory Asia Pacific

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

FIT OUT COSTS BY MARKET APAC OFFICE

AUSTRALIA & NEW ZEALAND

Cushman & Wakefield Sydney Office

RETROFIT COST (USD PER SQ FT)

FIT OUT COST (USD PER SQ FT)

BASIC HYBRID

COLLABORATIVE HYBRID

ADVANCED HYBRID

CITY

AVERAGE

ADELAIDE

134

221

BRISBANE

139

232

CANBERRA

164

272

MELBOURNE

143

237

PERTH

134

222

SYDNEY

146

243

AUCKLAND

151

235

REINSTATEMENT COST (USD PER SQ FT)

CITY

LOW

AVERAGE

HIGH

ADELAIDE

BRISBANE

CANBERRA

MELBOURNE

PERTH

SYDNEY

AUCKLAND

“ALL-IN” FIT OUT COSTS

ADELAIDE ADELAIDE

19% 19%

11% 11%

32% 32%

20% 20%

18% 18%

Cushman & Wakefield Singapore Office

BRISBANE BRISBANE

22% 22%

11% 11%

31% 31%

20% 20%

17% 17%

CANBERRA CANBERRA

21% 21%

11% 11%

31% 31%

20% 20%

17% 17%

USING THE GUIDE

MELBOURNE MELBOURNE

23% 23%

10% 10%

32% 32%

19% 19%

16% 16%

PERTH PERTH

20% 20%

11% 11%

31% 31%

20% 20%

18% 18%

Estimated costs provided herein are indicative of market averages based on certain assumptions. Exact costs for specific projects may differ to those presented here, and so we recommend engaging a Project & Development Services professional to advise on precise costings based on your unique construction requirements.

SYDNEY SYDNEY

23% 23%

10% 10%

31% 31%

19% 19%

17% 17%

AUCKLAND AUCKLAND

18% 18%

13% 13%

32% 32%

21% 21%

16% 16%

0% 0%

20% 20%

40% 40%

60% 60%

80% 80%

100% 100%

FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

GREATER CHINA

INDIA

Cushman & Wakefield Hong Kong Office

Cushman & Wakefield Gurgaon Office

RETROFIT COST (USD PER SQ FT)

FIT OUT COST (USD PER SQ FT)

BASIC HYBRID

COLLABORATIVE HYBRID

ADVANCED HYBRID

BASIC HYBRID

COLLABORATIVE HYBRID

ADVANCED HYBRID

CITY

AVERAGE

CITY

AVERAGE

BENGALURU

119

BEIJING

120

195

CHENNAI

115

GUANGZHOU

115

180

DELHI

127

HONG KONG

140

224

HYDERABAD

121

SHANGHAI

114

182

KOLKATA

117

SHENZHEN

119

180

MUMBAI

134

TAIPEI

116

192

PUNE

119

REINSTATEMENT COST (USD PER SQ FT)

CITY

LOW

AVERAGE

HIGH

CITY

LOW

AVERAGE

HIGH

BENGALURU

BEIJING

CHENNAI

GUANGZHOU

DELHI

HONG KONG

HYDERABAD

SHANGHAI

KOLKATA

SHENZHEN

MUMBAI

TAIPEI

PUNE

“ALL-IN” FIT OUT COSTS

BENGALURU ADELAIDE

17% 18%

33%

21%

18%

11%

BEIJING ADELAIDE

10%

15%

32%

30%

13%

18%

20%

32%

11%

19%

20%

32%

11%

19%

CHENNAI BRISBANE

15%

33%

21%

20%

11%

GUANGZHOU BRISBANE

15% 17%

20%

31%

11%

22%

17%

20%

31%

11%

22%

15%

31%

30%

DELHI CANBERRA

16% 17%

32%

21%

19%

12%

HONG KONG CANBERRA

17%

20%

31%

11%

21%

20%

31%

11%

21%

10%

15%

33%

29%

13%

HYDERABAD MELBOURNE

17%

32%

20%

19%

12%

MELBOURNE

14% 16%

19%

32%

10%

23%

16%

19%

32%

10%

23%

SHANGHAI

10%

15%

31%

30%

KOLKATA PERTH

17% 18%

32%

20%

19%

12%

PERTH

18%

20%

31%

11%

20%

31%

11%

20%

SHENZHEN

15%

31%

30%

15% 17%

MUMBAI SYDNEY

15%

36%

19%

18%

12%

SYDNEY

19%

31%

10%

23%

17%

19%

31%

10%

23%

TAIPEI AUCKLAND

16%

35%

30%

12%

PUNE AUCKLAND

14%

34%

21%

19%

12%

16%

21%

32%

13%

18%

16%

21%

32%

13%

18%

20%

40%

60%

80% 80%

100% 100%

0% 0%

20% 20%

40% 40%

60% 60%

80% 80%

100% 100%

20%

40%

60%

FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

NORTH ASIA

SOUTHEAST ASIA

Cushman & Wakefield Seoul Office

Cushman & Wakefield Manila Office

RETROFIT COST (USD PER SQ FT)

FIT OUT COST (USD PER SQ FT)

BASIC HYBRID

COLLABORATIVE HYBRID

ADVANCED HYBRID

BASIC HYBRID

COLLABORATIVE HYBRID

ADVANCED HYBRID

CITY

AVERAGE

JAKARTA

102

NAGOYA

121

192

289

KUALA LUMPUR

137

OSAKA

124

196

295

MANILA

146

TOKYO

126

201

298

SINGAPORE

134

205

BANGKOK

147

BUSAN

143

227

HANOI

SEOUL

156

236

HO CHI MINH CITY

REINSTATEMENT COST (USD PER SQ FT)

CITY

LOW

AVERAGE

HIGH

CITY

LOW

AVERAGE

HIGH

JAKARTA

NAGOYA

KUALA LUMPUR

OSAKA

MANILA

TOKYO

SINGAPORE

BANGKOK

BUSAN

HANOI

SEOUL

HO CHI MINH CITY

“ALL-IN” FIT OUT COSTS

JAKARTA

27%

18%

34%

11%

10%

NAGOYA

ADEL IDE

ADELAIDE

12%

14%

38% 32

20%

16%

18%

20%

11%

19%

18%

20%

32%

11%

19%

KUALA LUMPUR BRISBANE

15%

24%

32%

19%

10%

BRISBANE

17%

20%

31%

11%

22%

17%

20%

31%

11%

22%

OSAKA

12%

14%

39%

21%

14%

MANILA

15%

28%

32%

15%

10%

CANBERRA

17%

20%

31%

11%

21%

17%

20%

31%

11%

21%

TOKYO MELBOURNE

SINGAPORE

12%

14%

40%

22%

12%

14%

29%

35%

12%

10%

MELBOURNE

16%

19%

32%

10%

23%

16%

19%

32%

10%

23%

BANGKOK PERTH

20%

25%

30%

15%

10%

PERTH

18%

20%

31%

11%

20%

18%

20%

31%

11%

20%

BUSAN

13%

34%

23%

17%

HANOI

26%

19%

35%

10%

SYDNEY

17%

19%

31%

10%

23%

17%

19%

31%

10%

23%

SEOUL

14%

13%

33%

24%

16%

HCMC

26%

19%

35%

10%

AUCKLAND

16%

21%

32%

13%

18%

16%

21%

32%

13%

18%

20%

40%

60%

80%

100% 100%

20%

40%

60%

80%

100% 100%

20%

40%

60%

80%

20%

40%

60%

80%

FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES FURNITURE M&E WORKS CONSTRUCTION WORKS AV/IT PROFESSIONAL FEES

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

AVERAGE COSTS AT A GLANCE IN LOCAL METRICS

AVERAGE COSTS AT A GLANCE IN USD/SQFT

REGION

CITY

FIT OUT

RETROFIT REINSTATEMENT

REGION

CITY

METRIC FIT OUT RETROFIT REINSTATEMENT

AUSTRALIA & NEW ZEALAND

ADELAIDE

134

ADELAIDE

AUD/sqm 2,119

1,272

191

AUSTRALIA & NEW ZEALAND

BRISBANE

139

BRISBANE

AUD/sqm 2,203

1,322

198

AUSTRALIA & NEW ZEALAND

CANBERRA

164

CANBERRA

AUD/sqm 2,592

1,375

205

AUSTRALIA & NEW ZEALAND

MELBOURNE

143

MELBOURNE

AUD/sqm 2,253

1,352

203

AUSTRALIA & NEW ZEALAND

PERTH

134

PERTH

AUD/sqm 2,119

1,272

191

AUSTRALIA & NEW ZEALAND

SYDNEY

146

SYDNEY

AUD/sqm 2,304

1,382

222

AUSTRALIA & NEW ZEALAND

AUCKLAND

151

AUCKLAND

NZD/sqm 2,553

1,532

215

GREATER CHINA

BEIJING

120

BEIJING

RMB/sqm 8,924

2,975

892

GREATER CHINA

GUANGZHOU

115

GUANGZHOU

RMB/sqm 8,552

2,975

744

GREATER CHINA

HONG KONG

140

HONG KONG

HKD/sqft

1,094

508

297

GREATER CHINA

SHANGHAI

114

SHANGHAI

RMB/sqm 8,478

2,975

818

GREATER CHINA

SHENZHEN

119

SHENZHEN

RMB/sqm 8,850

2,975

744

GREATER CHINA

TAIPEI

116

TAIPEI

TWD/ping 126,300

70, 772

18,970

INDIA

BENGALURU

INR/sqft

4,965

4,385

685

INDIA

CHENNAI

INR/sqft

4,799

4,220

657

INDIA

DELHI

INR/sqft

5,295

4,633

701

INDIA

HYDERABAD

INR/sqft

5,047

4,468

689

INDIA

KOLKATA

INR/sqft

4,964

4,302

651

INDIA

MUMBAI

INR/sqft

5,626

5,130

771

INDIA

PUNE

INR/sqft

4,964

4,302

692

NORTH ASIA

NAGOYA

192

NAGOYA

JPY/tsubo 912,000 384,000

240,000

NORTH ASIA

OSAKA

196

OSAKA

JPY/tsubo 931,000 392,000

245,000

NORTH ASIA

TOKYO

JPY/tsubo 953,677

400,000

250,000

TOKYO

201

NORTH ASIA

BUSAN

143

BUSAN

KRW/sqm 1,943,909 951,564

258,282

NORTH ASIA

SEOUL

KRW/sqm 2,120,628 1,087,501

285,469

SEOUL

156

SOUTHEAST ASIA

JAKARTA

IDR/sqm 12,103,031

5,298,438

1,344,781

SOUTHEAST ASIA

KUALA LUMPUR

MYR/sqft

365

233

SOUTHEAST ASIA

MANILA

PHP/sqm 55,140

34,762

8,990

SOUTHEAST ASIA

SINGAPORE

134

SINGAPORE

SGD/sqft

179

SOUTHEAST ASIA

BANGKOK

THB/sqm 31,684

22,365

4,100

SOUTHEAST ASIA

HANOI

VND/sqm 16,522,956 8,134,378

1,270,997

SOUTHEAST ASIA

HO CHI MINH CITY

VND/sqm 16,014,557 7,625,980

1,016,797

Cushman & Wakefield

ASIA PACIFIC OFFICE FIT OUT COST GUIDE 2023

PROJECT & DEVELOPMENT SERVICES (PDS)

CUSTODIANS OF CAPITAL EXPENDITURE

HOW WE HELP OCCUPIERS AND INVESTORS

Cushman & Wakefield is a trusted partner for occupiers and investors to manage their capital expenditure and project delivery in Asia Pacific. By seeing things differently, we anticipate market changes and are first to capitalise, ensuring clients and the business can be what’s next in their respective sectors. Leveraging our global networks and local experience, we prudently optimise capital expenditure and deliver integrated design, project and listen closely to our clients, fully understanding their project goals and business needs while driving business results well beyond project delivery “on time and on budget”. construction management services for our clients. We Our interdisciplinary teams use data-driven, predictive analytics to provide strategic and forward looking advice to guide our clients through the entire real estate decision-making process, unearthing innovative facility solutions critical for productivity and maximising return on investment.

OCCUPIERS

INVESTORS

2023 STATISTICS

70M+ SQ FT UNDER PROJECT MANAGEMENT

1000 PROFESSIONALS

55 OFFICES ACROSS 12 MARKETS IN ASIA PACIFIC

900+ PROJECTS ON-GOING

US$0.57B+ PROJECTS CAPEX VALUE

Cushman & Wakefield

Cushman & Wakefield Jakarta Office

CONTACTS

Dr Dominic Brown Head of International Research dominic.brown@cushwake.com RESEARCH

PROJECT & DEVELOPMENT SERVICES

Tom Gibson Head of PDS, Asia Pacific tom.gibson@cushwake.com ASIA PACIFIC Mitch Wilson mitch.wilson@cushwake.com AUSTRALIA Todd Hanrahan todd.hanrahan@cushwake.com NEW ZEALAND Yasushi Otomo yasushi.otomo@cushwake.com JAPAN Shashi Bushan shashi.bushan@cushwake.com INDIA (OCCUPIERS) Manish Goel manish.goel@cushwake.com INDIA (INVESTORS) Jaehong Lee jaehong.lee@cushwake.com SOUTH KOREA

Andrew Carmichael Senior Director, Client Services, Asia Pacific andrew.carmichael@cushwake.com

Riaz Khan riaz.khan1@cushwake.com SOUTHEAST ASIA

Grant Carter grant.carter@cushwake.com SINGAPORE

Dwitje Wangsadiputra dwitje.wangsadiputra@cushwake.com INDONESIA Poonish Viramuthu poonish.puveneswaran@cushwake.com MALAYSIA

Bryant Cheung bryant.cheung@cushwake.com GREATER CHINA – HONG KONG David Shi david.dw.shi@cushwake.com GREATER CHINA – MAINLAND Arthur Chang arthur.chang@cushwake.com GREATER CHINA – TAIWAN

Haidee Lim haidee.lim@cushwake.com PHILIPPINES Riaz Khan riaz.khan1@cushwake.com THAILAND Hung Huynh hung.huynh@cushwake.com VIETNAM

Brian Ungles brian.ungles@cushwake.com AMERICAS

Nic Wilkinson nic.wilkinson@cushwake.com EMEA

Cushman & Wakefield Seoul Office

About Cushman & Wakefield

Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 52,000 employees in over 400 offices and approximately 60 countries. In 2022, the firm had revenue of $10.1 billion across core services of property, facilities and project management, leasing, capital markets, and valuation and other service

To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.

Page 2-3 Page 4-5 Page 6-7 Page 8-9 Page 10-11 Page 12-13 Page 14-15 Page 16-17 Page 18-19 Page 20-21 Page 22-23 Page 24-25 Page 26

Made with FlippingBook. PDF to flipbook with ease