• Global economic factors and supply chain disruptions are increasingly influencing fit-out costs, though local impacts vary. While costs have stabilized in some markets, others have faced price increases, particularly those dependent on imported products affected by global trade policies.

• Labor shortages have progressively become a cost driver across all regions. Skilled trades like electricians and Mechanical & Electrical (M&E) specialists are especially affected due to increased demand from complex building systems and competition from technology-heavy sectors including data centers and manufacturing facilities.

• Corporate carbon targets and energy risks are driving demands for sustainable fit-outs and higher project specifications that can deliver value for operational efficiency and employee wellbeing.

• Technology requirements are continuing to expand, with AI adoption trends influencing construction costs and specifications. Increasing baseline complexity in building systems and overwhelming computational demands are likely to impact overall costs in 2026.

Cost drivers can have variable impacts on different components of fit-out projects. JLL’s Global Fit-Out Cost Guide assesses costs across cost profile categories (e.g. Builders Works, Technology, etc) to understand how these have differed across specific materials, labor requirements and supply chain factors in 2025. Since Q1 2025, most markets have reported minor increases in costs across the four categories assessed.

With increasing cost pressures, fit-out design and delivery must create holistic value from investments. JLL Research shows that the top CRE priorities for corporate occupiers in 2025 were cost reduction, efficiency and operational performance, followed closely by sustainability and employee experience (JLL Research, Global Occupier Survey 2025). This research also indicated that energy performance was the leading driver of sustainability for their portfolios, across 62% of corporate organizations. This underscores the importance of sustainable fit-outs within a portfolio strategy focused on low operational costs. Ultimately, investing in sustainable fit-outs—especially those targeting energy performance and employee experience—has become a critical long-term value driver.

Sustainable fit-outs designed to reduce operational costs, improve employee wellbeing and support corporate carbon targets are driving increasing demand across most regions, with 71% of markets reporting demand for sustainable fit-outs, up from 60% in Q1 2025. This trend is especially pronounced in EMEA and APAC, where sustainability is a top priority for many occupiers given their organizational commitments, local policies and employee expectations.

JLL’s recent Global Technology Survey highlights that corporate real estate is entering a stage of technology transformation, with AI and advanced technology solutions now being integral to many real estate functions. This is inevitably changing technology specifications for office fit-outs too, with 63% of markets reporting an increase in technology requirements for fit-out projects. Specifically, there is rising demand for advanced building management systems (BMS), environmental sensors, predictive occupancy management and remote energy monitoring. These solutions optimize operations, improve sustainability metrics and support flexible working environments, and will continue to evolve as AI advances these solutions and the underlying building infrastructure needed. 

Recent years have seen a growth in demand for high-spec video conferencing, immersive AV (audio-visual) setups, and collaboration spaces equipped with the latest digital tools, a trend that is strongest in technology-forward markets (e.g., India, Australia, the UK, North America, Singapore) and in projects for multinational clients. While not mainstream, increasing numbers of projects are piloting advanced technology, such as VR-enabled rooms for training or collaboration, augmented reality (AR) in work settings, and digital-twin modeling for building optimization.

As technology and AI requirements continue to evolve, costs will increasingly be affected by rising demand and longer lead times for tech equipment, supply chain uncertainty and chip shortages in some regions, with greater focus on future-proofing and scalable technology likely in 2026.