Building a modern office space is a significant investment. Understanding the costs involved is essential for business owners, developers and companies looking to expand or relocate. Whether constructing a small, one-story office or a towering, multi-story building, the cost can vary dramatically depending on factors like location, building materials, design complexity and intended use.

In this 2025 guide, we will explore the key considerations and data regarding the cost to build an office to help you better plan for your upcoming office construction project.

According to the latest data, the cost to build an office is between $202-$574 per square foot. The total cost to build an office ranges between $460,000 for a small one-story building to just over $364 million for an 11-20 story building.

Numerous factors contribute to the total cost of constructing an office building. Here are the most common factors:

One of the most significant cost drivers when building an office is the square footage of the building. Larger office buildings tend to have a lower cost per square foot, while smaller buildings may have a higher cost due to inefficiencies and fixed costs.

The location of your office construction project plays a crucial role in determining the overall cost. Office building prices in urban areas with high demand for real estate tend to be far higher than in suburban or rural areas. The cost of land, local construction wages, permitting and other factors all increase in densely populated, high-demand regions.

The intended use and design of the office can significantly affect the cost. A simple, no-frills one-story building will cost much less than a high-rise with advanced amenities. A multi-story office building may also require special structural elements, such as reinforced steel or additional safety measures, which can raise costs considerably.

The materials used in the construction of the office building can vary widely in price. High-quality finishes, energy-efficient technologies, smart building systems and eco-friendly materials can significantly add to the cost.  Additionally, advanced technology features like automated lighting systems or smart HVAC controls can contribute to higher building expenses.

Labor costs depend largely on region, necessary expertise and project complexity. In metropolitan areas, construction labor tends to be more expensive due to the higher cost of living and demand for skilled workers. Additionally, construction delays or increased project timelines can increase overall labor costs.

Depending on the location, there may be various building codes and regulations that affect construction costs. Ensuring that the building complies with local zoning laws, environmental regulations and safety codes requires additional time and resources. In some locations, eco-friendly construction or LEED certification may be required, which can increase both upfront costs and long-term energy savings.

Today's offices are designed to be flexible and accommodate a range of work styles. This includes everything from private offices to open-plan spaces to collaborative environments. Integrating features such as modular walls, glass partitions and adjustable furniture may add to the cost but improve the functionality and appeal of the office.

Building offices with sustainability in mind can be a good investment, both in terms of energy savings and environmental impact. Energy-efficient lighting, smart HVAC systems, water-saving fixtures and eco-friendly building materials will increase the initial cost but can result in significant long-term savings and potential tax incentives.

Planning to build an office of any size – whether for a new local business or for a multi-million dollar corporation – is a massive undertaking. Due to the potential for massive cost variation for any project size, it is of the utmost importance to be confident in your estimates. Doing so is the best way to ensure that your team stays on budget and delay-free throughout the duration of the project.