Moving into a new office, or reworking the one you have, is a big decision. The space shapes how your team works, how clients see your business and how comfortably you can grow. An office build-out is the construction that turns a leased space into that working environment, and good planning is what separates a smooth project from one full of delays and change orders.
This guide walks through how to plan an office build-out in Salt Lake City, step by step. It comes from AIS Commercial Construction, a Utah commercial interior contractor that has been building office build-outs and tenant improvements since 1980.
What Is an Office Build-Out?
An office build-out is the interior construction that customizes a commercial space for an office tenant. It is a type of tenant improvement. Depending on the space, it can include framing new walls and offices, installing ceilings and lighting, adjusting HVAC and electrical, building restrooms and break rooms, adding conference rooms, and finishing everything with flooring, paint and millwork.
Build-outs generally start from one of two conditions:
- Shell space (first-generation). A raw space with little or no interior construction. You are building most of the interior from scratch.
- Second-generation space. A space previously occupied by another tenant. Some walls, ceilings, restrooms and systems may be reusable, while other areas are demolished and rebuilt.
Knowing which one you are dealing with is the first step in understanding your scope, schedule and budget.
Step 1: Define How Your Team Will Use the Space
Before drawings, before bids, start with how you work. A clear program, the list of what the space must contain, guides every later decision. Questions to answer:
- How many people will work here now, and how many in three to five years?
- Who needs a private office, and who works best in open or shared areas?
- How many conference rooms, huddle rooms and phone rooms do you need?
- Will clients visit? If so, what should reception and meeting areas communicate?
- What support spaces do you need: break room, storage, server or IT room, mail and copy area, wellness room?
- Do you have any special requirements, such as secure records storage, labs, training rooms or extra power?
Write this down and share it with your broker, designer and contractor. It keeps everyone working from the same assumptions.
Step 2: Evaluate the Space Before You Sign
If you have not signed a lease yet, this is the best time to bring in a contractor. A walkthrough can reveal how much work the space will really need and whether existing walls, ceilings, restrooms and mechanical systems can be reused.
Things to look at closely:
- Layout fit. Do columns, windows and the core (elevators, stairs, restrooms) work with your program?
- HVAC capacity and zoning. Adding private offices and conference rooms often requires changes to heating and cooling distribution.
- Electrical and data. Is there enough power for your equipment, and where will cabling run?
- Restrooms and accessibility. Will existing restrooms and paths of travel meet current code for your occupancy?
- Ceilings and lighting. Can existing grid and fixtures be reused, or will they be replaced?
This information also helps you negotiate the lease, especially your tenant improvement allowance.
Step 3: Understand Your Lease and Tenant Improvement Terms
Your lease controls a lot about the build-out: whether the landlord contributes money, who manages construction, which contractors are allowed, what building rules apply, and whether you must restore the space at the end of the lease. Look for the work letter or construction exhibit and review it with your attorney and broker.
Key questions:
- Is there a tenant improvement allowance, and what can it be used for?
- Is the build-out turnkey (landlord-managed) or tenant-managed?
- When does rent start relative to construction completion?
- What does the landlord deliver before your work starts?
- Are there approval steps for drawings and contractors?
For a deeper look at allowances, read Tenant Improvement Allowance: What Utah Tenants Should Know.
Step 4: Design and Drawings
Most office build-outs require drawings prepared by an architect or designer, along with engineering for mechanical, electrical and plumbing changes. These drawings serve three purposes: they communicate your design, they get landlord approval and they are submitted for permits.
Design usually moves through a few phases:
- Space planning / test fit. A layout showing where offices, rooms and work areas go.
- Design development. Finishes, lighting, ceilings and details are selected.
- Construction documents. Complete drawings and specifications used for pricing, permits and construction.
Involving your contractor during design helps keep the project buildable and aligned with your budget. AIS works alongside architects and owners to deliver on-spec results with no design delays and no surprises.
Step 5: Budget for the Whole Project
We do not publish price-per-square-foot figures because every office build-out depends on its own space and scope. Instead, here are the factors that most affect cost:
- Starting condition – shell space versus second-generation space.
- Density of the layout – more private offices and conference rooms mean more walls, doors, lighting and HVAC work.
- Finish level – standard building finishes versus custom millwork, glass fronts, specialty ceilings and feature lighting.
- Mechanical, electrical and plumbing changes – especially new restrooms, break rooms or added HVAC zones.
- Code upgrades – accessibility, fire and life-safety items that the work triggers.
- Schedule and access – after-hours work in occupied buildings or compressed timelines.
Remember to budget for items outside construction as well: design and permit fees, furniture, IT and audio-visual equipment, signage, moving costs and a contingency for conditions discovered once walls and ceilings are opened.
Step 6: Permits and Approvals in Salt Lake City
Commercial interior work generally requires a building permit from the city or county where the space is located. Salt Lake City and surrounding communities each have their own building departments and review processes, so confirm early which jurisdiction applies to your address. Your landlord will usually need to approve your drawings before they are submitted.
Build approval and permit review time into your schedule rather than assuming construction can start the day the lease is signed.
Step 7: Construction
Once permits are issued, construction typically follows a familiar sequence:
- Demolition of anything being removed (in second-generation spaces)
- Framing for new walls and rooms
- Rough-in for electrical, plumbing, HVAC, fire protection and data
- Inspections of rough-in work
- Insulation, drywall and ceilings
- Finishes: paint, flooring, doors, millwork and lighting fixtures
- Final inspections and punch list
In multi-tenant buildings, the contractor also has to follow building rules on noise, deliveries, elevator use and working hours. An experienced tenant improvement contractor plans for these from the start.
Step 8: Move-In and Closeout
Near the end of construction, coordinate furniture delivery, IT installation and your move. Walk the space with your contractor to create a punch list of final items. Make sure you receive closeout documents such as warranties and operating information for any new equipment.
Office Build-Out Ideas Worth Considering
- Flexible meeting space. Rooms that can serve as meeting space, training space or overflow work areas.
- Acoustic planning. Phone rooms and sound control help open offices work better.
- Daylight. Keeping enclosed rooms off the windows can bring more natural light to open areas.
- Room to grow. Planning a layout that can absorb more people without major reconstruction.
For more ideas, see our posts on modern office design ideas and the commercial office build-out process.
Common Office Build-Out Mistakes to Avoid
- Signing a lease before understanding how much work the space needs
- Starting design without a clear program
- Forgetting non-construction costs like furniture and IT
- Underestimating approval and permit time
- Making major changes after construction begins
Office Build-Out FAQs
How long does an office build-out take?
It depends on the size of the space, its starting condition, the complexity of the design and how long landlord approval and permit review take. A light refresh of a second-generation space moves much faster than a full build-out of shell space. Ask your contractor for a schedule based on your drawings, and plan design and permitting time ahead of construction.
Who pays for an office build-out?
It depends on the lease. The landlord may provide a tenant improvement allowance, deliver a turnkey space, offer free rent or amortize improvements into the rent. The tenant usually pays anything beyond what the lease provides.
Can I stay open while my existing office is remodeled?
Often, yes. Work can be phased so parts of the office stay in use, though phasing can affect schedule and cost. Discuss your needs early so the plan accounts for them.
Do I need an architect?
Most commercial build-outs need drawings for landlord approval and permits. If you do not have a designer, ask your contractor who they work with.
What should I bring to a first meeting with a contractor?
Bring the address and size of the space, any floor plans or drawings, your headcount and room needs, your target move-in date and any lease terms related to construction.
Plan Your Salt Lake City Office Build-Out With AIS
AIS Commercial Construction has been building commercial interiors in Utah since 1980. We build office build-outs, commercial remodels and tenant improvements for corporate suites, co-working spaces and growing businesses across Salt Lake City and the Intermountain West. Browse our project gallery, then contact us or call 801-467-9138 to talk through your space.