Lagos has emerged as the most expensive city in Africa for office fit-outs, with the cost of constructing and furnishing a high-specification workspace reaching N3.774m per square metre, according to the Global Office Fit-Out Cost Guide 2026 released by Turner & Townsend.
An office fit-out refers to the process of transforming an (empty) interior space into a working office environment, according to TSK Group.
Smaller-sized offices typically range between 100 sqm and 300 sqm. At N3.774m per square metre, THE WHISTLER estimates that it would cost about N377.4m to construct and furnish a 100 sqm premium office, and approximately N1.1322bn for a 300 sqm space.
The report, which analysed office fit-out costs across 58 cities worldwide, attributed the high cost in Nigeria largely to the country’s dependence on imported materials and equipment, as well as exposure to currency fluctuations.
According to the report obtained by THE WHISTLER, although some materials are sourced locally, specialist systems such as mechanical, electrical and plumbing (MEP) equipment attract import duties of up to 80 per cent, significantly increasing project costs.
“Global economic and political trends are shaping Africa’s office fit-out landscape – especially given many African markets’ exposure to currency fluctuations. Even in states like Nigeria, where the US dollar is the primary construction currency, import duties up to 80 percent mean that even with local sourcing of materials, certain specialist kit such as mechanical, engineering and plumbing (MEP) equipment, faces a significant cost hike,” the report stated.
Turner & Townsend said these factors have made Lagos the costliest office fit-out market on the continent.
Despite the challenging environment, the consultancy noted that demand for premium office space remains robust, driven by private businesses, financial institutions and multinational professional services firms.
Wendy Cerutti, Regional Real Estate Lead, Africa, said demand for new office spaces from private sector players remained strong.
“Despite local challenges, demand from private businesses in new space is undimmed – from financial firms to multinational professional services companies,” she said.
The report noted that, unlike many regions globally where shortages of Grade A office space are influencing occupier decisions, land and building stock are generally available across African markets.
However, it said some sought-after locations such as Cape Town and Johannesburg were beginning to experience supply constraints following a series of large office developments, including facilities for call centres and local offices of multinational corporations.
Turner & Townsend added that Johannesburg remained one of the continent’s more affordable office markets, with average medium-specification fit-out costs standing at R25,318 (about N2.12m) per square metre.
The Global Office Fit-Out Cost Guide 2026 provides construction cost benchmarks for high-, medium- and low-specification office projects across 58 cities and offers detailed analysis of 17 key markets to support workplace planning and investment decisions.
