Restaurant Fit Outs: What Affects the Cost of Project Management

Opening a restaurant can be one of the most rewarding ways to bring a vision to life, but it’s not for the faint-hearted.

Among the many challenges you’ll face, understanding and managing the costs of turning an empty shell into a fully functioning restaurant is one of the most complex.

This article explores the factors that influence the cost of project management for a restaurant fit out, helping you make informed decisions at every stage of the process.

Understanding the Variables

There’s no one-size-fits-all answer to the cost of fitting out a restaurant.

What you spend will depend on a number of key factors: where your restaurant is located, how big it is, what kind of experience you’re trying to create, and just how bespoke your vision is.

A stripped-back coffee bar in a suburban high street will cost a very different amount to a fine dining restaurant in a central London unit.

Understanding these variables is the first step to planning realistically and avoiding expensive surprises.

Location, location

Where you’re setting up shop will have a huge impact on cost.

Urban centres, especially places like central London, typically come with higher rents, higher build costs, and tighter regulatory requirements.

In contrast, suburban or out-of-town locations may be less expensive to fit out, but could require more investment in signage, marketing, or transport links to attract footfall.

The trade-off between visibility and affordability is one of the first big decisions you’ll need to make.

Size Matters

The size of the premises has a direct bearing on cost. Larger spaces typically mean more furniture, more equipment, more finishes, and a higher price tag. However, while a smaller space may be cheaper to fit out, it also limits your potential cover count and, therefore, your revenue.

Striking the right balance between size, cost, and earning potential is crucial at the outset.

Concept and Cuisine

Your restaurant’s identity shapes everything from the materials you choose to the mood you set.

A fine dining venue often calls for bespoke finishes, ambient lighting, and high-spec fixtures to create the right atmosphere.

A fast-casual or grab-and-go concept might prioritise functionality and durability over aesthetic detail, keeping costs down.

Either way, the design should align with the experience you want to deliver.

Level of Customisation

Bespoke joinery, tailored layouts, and one-of-a-kind design features can quickly push up fit out costs. If you’re aiming for a distinctive, brand-led environment, expect to pay for the privilege.

By contrast, repurposing a space that was previously a restaurant, where services are already in place and the layout broadly suits, can offer significant saving.

As ever, the balance lies in knowing where to invest and where to adapt.

Breaking Down Restaurant Fit Out Costs

The choices you make will have a major impact on your overall budget; premium equipment and luxurious finishes will clearly drive up costs.

Beyond the obvious, there are a number of less visible expenses that can catch people out. Professional fees, statutory approvals, and the cost of specialist consultants can all add up quickly.

Navigating planning permissions, building regulations, listed building constraints, and licensing can be complex, especially for first-time restaurateurs, so it’s worth budgeting for expert guidance from the outset.

Leasehold Improvements

These are the changes needed to make the space work for you and they can be substantial. Depending on the condition of the unit, you may need to invest in upgraded plumbing, electrics, lighting, flooring, and heating or cooling systems (HVAC).

In older buildings, especially, bringing services up to standard can be a major cost. Even when the bones of the space are sound, tailoring it to your operational needs (kitchen layout, customer flow, accessibility, etc) often requires significant adaptation.

Equipment and Furnishings

Your choice of equipment and furniture does more than shape the look of your restaurant; it affects how efficiently it runs.

Kitchen kit, service counters, tables, chairs, lighting, and soft furnishings all contribute to both the ambiance and the day-to-day practicality of the space.

Opting for used equipment might offer upfront savings, but it’s worth weighing that against potential maintenance issues and shorter lifespans. In critical areas like the kitchen, reliability is often worth the extra cost.

Permits and Licenses

Every restaurant fit out needs the proper approvals, and while these might not be the most exciting line on the budget, they’re essential.

Depending on your location and the type of venue you’re creating, you may need permissions such as building control approval, planning consent, or advertisement consent.

These costs can vary, and the processes are not always straightforward, so it’s wise to allow time, money, and possibly expert support to get them sorted properly.

Interior Design and Décor

The look and feel of your restaurant matters. Whether you’re going for pared-back industrial or opulent maximalism, creating the right atmosphere is key to shaping customer experience.

The cost of design and décor can vary enormously depending on your chosen aesthetic, the materials you use, and whether you're working with a professional designer.

It’s worth being clear early on about what ambience you want to create and what your budget will realistically allow.

Technology and Point of Sale (POS) Systems

A reliable and user-friendly POS system is a non-negotiable for most restaurants. From taking orders and managing payments, to tracking stock and analysing sales data, the right tech can make your operation run far more smoothly.

Costs will depend on the complexity of your setup, whether you opt for an all-in-one system, and the level of integration you need across front and back of house. It’s important to budget not just for the initial installation, but for training, support, and potential upgrades down the line.

The Cost of Project Management (and Why It’s Worth It)

The cost of project management may vary depending on the complexity of the fit out, the size of your team, and how early a project manager is involved in the process. Appointing a project manager can make a significant difference to the success of your restaurant fit out.

A good project manager will take ownership of the programme, advise on which specialist consultants are needed (and when), coordinate the various moving parts of the team, and make sure the necessary approvals are secured.

Crucially, they’ll keep a close eye on the build itself: tracking progress, resolving issues, and helping ensure the project stays on time and on budget. In a sector where time is money, that kind of oversight can prove invaluable.

To find out more about the cost of hiring an Iconic Project Manager, please visit our pricing page.

Making Informed Choices

There’s no single ‘average’ cost to fitting out a restaurant. Too much depends on your location, your concept, and the decisions you make along the way. Understanding the factors that shape the overall budget allows you to make confident, informed choices.

A well-considered fit out doesn’t need to be extravagant to be successful. The key is balancing quality, functionality, and cost in a way that serves your customers, and your vision, for years to come.

Author

Darren Hewitt

Darren has over 25 years experience in the construction industry. Within this time he has led and delivered construction projects for major blue chip clients.

Darren has held senior roles in both client and consultant organisations. This gives him a full understanding of the construction process and level of stakeholder engagement required to ensure successful project/programme outcomes.