Law firm offices are shrinking, but fit-outs are becoming more expensive because the cost of building materials is going up and lawyers want higher-end amenities, a CBRE review shows.
Traditional law firms tend to put paralegals, secretaries and other support staff in cubicles and reserve offices around the building perimeter for partners and higher-ranking associates, CBRE’s 2025 law firm fit-out cost guide says. But that configuration is giving way to smaller, more uniform office sizes for lawyers as a way to save money, use space more efficiently and make space planning easier regardless of staffing changes such as lateral hires, promotions and attrition, it says.
Law firms are starting to put first- and second-year associates in cubicles, too, and turning corner offices into meeting spaces.
“Traditional corner-office culture is declining,” the report says.
In the place of larger offices, law firms are trying to make office attendance more attractive by putting resources into social spaces and higher-end amenities.
“A greater percentage of the project budget is being allocated to improving the quality of space,” the report says. “Creating a positive experience in the office and the overall well-being of their people remain top priorities for law offices.… Attracting and retaining talent, along with improving the workplace experience [are] key to their real estate goals.”
Higher quality amenities can include an increased use of glass, better materials and finishes and more social spaces like cafes, collaboration areas and conference rooms with state-of-the-art audiovisual systems, the report says.
For the building operator who will oversee a law firm fit-out project, the report has some recommendations:
- Secure the budget and do some scenario planning early in the process.
- Explore structural procurement programs.
- Evaluate the use of alternative materials and look for domestic sourcing.
- Pre-purchase materials and equipment to lock in pricing.
- Adjust contract terms to balance risk-sharing.
Among major North American markets, law firm fit-outs are likely to be most expensive in San Francisco, where costs are estimated to be $351 to $584 per rentable square foot, and least expensive in Austin, Texas, where costs are expected to be between $228 and $380 per RSF. New York City is second most expensive, at $344 to $574 per RSF. In Canada, Toronto is the costliest city, at $318 to $530 per RSF.
