At the end of a commercial lease, most tenants have to hand the space back in a set condition. That process is called a make-good, and in Sydney's office towers it usually means a full strip-out of the tenant's fitout. Here is what a make-good strip-out involves, how building rules shape the work, and why a hazardous materials survey matters.

What a make-good means

A make-good clause in a commercial lease sets out the condition the tenant must return the premises in. Common versions include:

Return to base building: remove the entire tenant fitout so the space matches the landlord's original shell, with ceilings, lighting and services to the base building standard
Return to original condition: reverse only the works the tenant added
Cash settlement: the landlord accepts payment instead of physical works

Leases vary, so the first step is always to read the lease and any make-good schedule, then confirm the scope with the landlord or their agent in writing. Doing more than the lease requires costs money, and doing less risks a dispute.

What usually comes out

In a typical office make-good, the strip-out removes:

Partitions, glazed offices and meeting rooms
Tenant ceilings, bulkheads and light fittings that are not base building
Carpet, vinyl and raised floor finishes
Joinery, kitchenettes, reception counters and storage
Data, AV and security cabling back to the riser
Tenant signage and fixings

Base building items stay. That normally includes the main ceiling grid where the landlord supplied it, the fire services, base building air conditioning and the core. Getting the line between tenant and base building right is the main job of the scope.

Building management sets the rules

Every tower has its own contractor requirements, and they shape the schedule as much as the scope does. Expect to deal with:

Inductions: all workers complete the building's induction before starting
Documents: a method statement, risk assessment and insurance certificates submitted to building management
Loading dock bookings: waste removal is limited to booked windows, often early morning or after hours
Goods lift bookings: lifts are booked and protected for the whole move
Lift and corridor protection: floors, walls and lift cars are covered along the route
Fire system isolations: detectors in the work area are isolated by the building's own fire contractor and restored at the end of each shift
Hot works permits: needed for any cutting, grinding or welding

Raising these requirements with building management early avoids a slow start.

After-hours work

In an occupied tower, other tenants are working on the floors above and below. Noisy tasks such as removing joinery, pulling ceilings, cutting and breaking out are usually only allowed after hours or on weekends. Quieter work, like removing carpet or disconnecting cabling, can sometimes run during the day.

A make-good on a busy building is therefore planned in shifts. Each shift ends with the floor safe, the fire isolations restored, waste either removed or stored as the building allows, and the space secured. This takes more coordination than a daytime job, but it keeps the building running and the landlord on side.

Hazardous materials surveys

Many CBD and North Sydney towers date from the 1960s to the 1980s. Older fitouts and some base building areas can contain asbestos in ceiling tiles, vinyl floor tiles and their adhesive, risers, fire doors and around old services. Most commercial buildings of that age hold an asbestos register, and that register should be checked before any strip-out.

The register is not always enough. It may not cover the ceiling space, under the floor coverings or inside the risers in detail. A pre-strip-out hazardous materials survey of the areas being disturbed fills those gaps. Where asbestos is found, it is removed first. In NSW, removing more than 10 square metres of non-friable asbestos needs a SafeWork NSW licensed removalist, and friable asbestos always needs a Class A licence. SafeWork NSW is notified in advance, and the area receives a clearance certificate before the rest of the strip-out resumes.

Waste and recycling

Office strip-out waste is mostly metal stud, plasterboard, ceiling tiles, glass, carpet and joinery. Sorting it on the floor before it reaches the dock helps in two ways: recyclable material such as metal is kept out of landfill, and fewer dock bookings are needed. Some landlords and tenants also ask for a waste report showing how material was handled.

Timing the make-good

Make-goods are almost always tied to a lease end date. Work backwards from that date, allowing time for:

Reading the lease and agreeing the scope
Building management approvals and bookings
The hazardous materials survey and any asbestos removal
The strip-out itself, in after-hours shifts
A final inspection with the landlord's representative

Starting the planning well before the lease ends gives room to deal with surprises, such as asbestos above the ceiling or extra items the landlord asks to be removed.

Retail and hospitality

The same principles apply to shops and venues, with a few extras. Retail strip-outs in shopping centres follow centre management rules on hours and access. Hospitality strip-outs include kitchen exhaust hoods, cool rooms and grease traps, which need licensed trades to disconnect safely.

What to send for a quote

Send the building address, floor and suite, photos of the space, the lease end date, and the make-good clause or schedule if you have it. Building management's contractor requirements help too. With those, we can confirm the scope, line up the survey and bookings, and set out an after-hours plan.

Office Make-Good Strip-Outs in Sydney: What to Expect at Lease End