Your First Fitout in Sydney: The Plain-English Guide

You have found a tenancy. Maybe you have signed a Heads of Agreement. Now there is a bewildering list of things to figure out: lease vs HoA, what to ask the landlord, who you need to hire, what a CDC is, when an OC is issued, and how long it all takes. This guide walks through each of those in plain English, with deep links to detailed resources where you need them.

For Sydney small business owners doing their first commercial fitout. Last updated 2 May 2026.

In This Guide
  1. The 60-Second TL;DR
  2. Heads of Agreement vs Lease
  3. Questions to Ask Your Landlord
  4. Approvals: CC vs CDC vs OC
  5. Who You Need to Hire
  6. Engineering by Fitout Type
  7. The Typical 12-Week Timeline
  8. Get the 25-Question Checklist
  9. Get Engineering Help

The 60-Second TL;DR

You will sign a Heads of Agreement (HoA) first, then a formal lease. Most of the negotiation power sits at HoA stage. Use it.

Before you sign, ask the landlord for the building's most recent AFSS (Annual Fire Safety Statement), the fitout guide if one exists, working hours, loading dock rules, after-hours HVAC charges, services capacity, and the make-good standard at lease end.

You will need an architect or interior designer for the layout, a private certifier to issue the CDC or CC, a building services engineer for the HVAC / electrical / hydraulic / fire designs, a BCA consultant on more complex projects, and a builder to construct it.

Most fitouts go through CDC (10-15 business days) rather than DA + CC (8-16 weeks). The OC is the final sign-off that lets you occupy the premises and trade.

The whole process takes 10 to 14 weeks from HoA signing to opening day for a typical small business fitout. Specialty fitouts (medical, food production, large hospitality) can take 16-24 weeks.

12-Week Programme HoA to Lease Weeks 1-2 Design Weeks 3-6 Approval Weeks 5-7 Construction + OC Weeks 7-12 CDC pathway. Add 2-4 weeks for council DA. Add 4-12 weeks for trade waste applications.

Heads of Agreement vs Lease

The Heads of Agreement (HoA) is a short document that records the commercial terms before the formal lease is drafted. Most of it is not legally binding. The financial terms (rent, term, incentive) are subject to contract. The two parts that are binding are the confidentiality clause and the exclusivity clause, which stops the landlord shopping the space to another tenant for a fixed period (usually 30 to 60 days) while the lease is drafted.

Despite being mostly non-binding, the HoA is where the actual negotiation happens. Once it goes to the lawyers, the deal moves toward a formal lease and the levers for change get smaller. Treat the HoA as the binding document, not the placeholder.

What to negotiate at HoA stage that gets missed: building manager access during fitout, fitout guide compliance, AFSS access, services capacity sign-off, after-hours HVAC charges, loading dock booking, make-good standard, and permitted use breadth. Each one is a future cost. Each one is harder to vary once the lease is drafted.

Read the full HoA vs Lease memo

Questions to Ask Your Landlord

Send these in writing to the leasing agent before HoA signing. Get answers in writing back. The email thread becomes the record if things change later.

  1. Can I see the most recent AFSS? The Annual Fire Safety Statement tells you what fire safety measures exist in the building so you can scope re-certification cost.
  2. Is there a fitout guide? The landlord's rulebook for tenant fitouts. Get the latest version before the architect starts.
  3. What working hours are permitted? Council DCP plus building rules, whichever is tighter. Working outside hours costs more.
  4. How do I book the loading dock? Vehicle height limits, booking windows, security clearance.
  5. What are after-hours HVAC charges? $30-$80/hour/zone is typical. Material for late-trading businesses.
  6. What is the existing electrical, water, and gas capacity? Insufficient capacity is a fitout dealbreaker if not budgeted.
  7. What is the make-good obligation? Default base-building make-good can cost $30-60K. Negotiate alternatives.
  8. Are any contractors landlord-mandated? Fire, BMS, access control are common. Premium pricing.
Read the full landlord questions memo

See also: AFSS for mechanical services, HVAC make-good, and tenant services coordination.

Approvals: CC vs CDC vs OC

Before construction starts, you need either a CDC (Complying Development Certificate) or a CC (Construction Certificate). After construction, you need an OC (Occupation Certificate) before you can trade.

CDC

Complying Development Certificate. Combines planning and construction approval. Issued by a private certifier. 10-15 business days. Only available if the project meets the Codes SEPP criteria. Most small business fitouts are eligible.

DA + CC

Development Application (council planning approval, 6-16 weeks) plus Construction Certificate (engineering and code compliance, 2-6 weeks). Used when CDC is not available, e.g. heritage sites, change of use, additions over Codes SEPP limits.

OC

Occupation Certificate. Final sign-off after construction, issued by the same certifier. Confirms the building can be occupied. Needs all engineering systems commissioned and AFSS items re-certified. Usually 1-2 weeks at end of project.

For most small business fitouts the question is not whether to get a CDC, it is which certifier. A good private certifier provides a checklist of required documentation upfront, which avoids surprises at lodgement.

Deeper dives: DA vs CDC pathways, CDC engineering reports, CC engineering reports, OC building services sign-off, council vs private certifier.

Who You Need to Hire

Five roles cover most fitouts. On smaller projects some can be combined (e.g. the certifier can absorb the BCA consultant role).

Architect or Interior Designer

Translates your business needs into a layout. On small fitouts an interior designer is often enough. On larger fitouts an architect handles structure, code compliance, and authority documentation.

Private Certifier

Issues the CDC and OC. Reviews the design package against the NCC. The same certifier usually does both certificates. Choose one experienced in your building class.

BCA Consultant

Advises on building code compliance, especially for change of use, fire engineering, or alternative solutions. Often absorbed by the certifier on simple fitouts. More →

Building Services Engineer

Designs HVAC, electrical, hydraulic, and fire protection. Provides reports for CDC or CC. Coordinates between disciplines and with the architect. More →

Builder

Constructs the fitout. Books loading docks, manages trades, coordinates with the certifier on inspections. Selected by tender or by direct engagement.

Deeper: when to engage an engineer, engineer vs HVAC contractor, in-house vs consultant engineer.

Engineering by Fitout Type

The Typical 12-Week Timeline

From HoA signing to opening day, a typical small business fitout in Sydney runs 10 to 14 weeks. The 12-week median assumes a CDC pathway, no major services upgrades, no specialty approvals, and ordering long-lead items by week 4.

  • Weeks 1-2: HoA, lease drafting, briefing consultants, services capacity check.
  • Weeks 3-4: Architect develops layout, engineers design in parallel, long-lead items ordered.
  • Weeks 5-7: CDC lodged, certifier reviews, builder mobilises, CDC issued.
  • Weeks 7-11: Strip out, rough-in, lining, fitout, trades complete, commissioning.
  • Week 12: OC issued, defects rectified, soft launch, doors open.

The three biggest delay risks are approval delays (especially Sydney Water trade waste, +4-12 weeks), long-lead equipment (custom switchboards / kitchen hoods, +8-16 weeks if not ordered early), and services capacity surprises mid-build (+4-12 weeks for an authority upgrade).

Read the full week-by-week timeline

Get the 25-Question Checklist

Free: The First Fitout Checklist (PDF)

A printable 25-question checklist covering Lease & HoA, Landlord, Consultants, Approvals, and Engineering. Use it before you sign anything.

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