End-of-Lease Make Good & Site Decommissioning

PENGUIN RANDOM HOUSE

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CLIENT

Penguin Random House Australia Pty Ltd

LOCATION

Scoresby, Victoria

 

PROJECT TYPE

End-of-Lease Make Good | Base Build Reinstatement | Demolition | Strip-out | Site Decommissioning

MAJOR DEMOLITION WORKS

Office, mezzanine and warehouse infrastructure

INDUSTRY

Commercial Office & Warehousing (Book storage and packaging)

WAREHOUSE AREA

17,000

SQM

MATERIAL RECYCLING REBATE

$100,000

RETURNED TO CLIENT

PROJECT DURATION

4

months

September 2025 – January 2026

PROJECT OVERVIEW

Large-Scale Warehouse Make Good & Site Decommissioning

  

Penguin Random House Australia engaged National Make Good Solutions (NMGS) to complete a full end-of-lease make good and site decommissioning of their large distribution and office facility in Scoresby, Victoria.

The objective was to fully vacate and reinstate the premises to base build condition in line with landlord requirements before the lease expiry, following the relocation of operations to a new site.

The project involved extensive demolition, removal of specialist infrastructure, and coordination of multiple trades to ensure the site was returned in a compliant and ready-for-handover condition.

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THE CHALLENGE

Several challenges had to be managed to deliver the project successfully:

  • The tenant remained in the facility longer than initially expected, reducing the available construction window.
  • The site included large warehouse infrastructure, including racking systems, mezzanine structures and conveyor systems that required dismantling and demolition.
  • Removal and decommissioning of specialist building services, including a gas suppression system.
  • Coordination of multiple trades over the Christmas and New Year shutdown period.
  • External approvals required, including delays awaiting clearance for grease trap removal.
  • Tight handover timelines to ensure no additional rent obligations were incurred by the client.

Despite these constraints, NMGS implemented a structured demolition and reinstatement program to maintain project momentum.

SCOPE OF WORK

NMGS delivered a complete end-of-lease make good solution, including:

  

Trades coordinated included demolition, electrical, carpentry, mechanical, fire, plumbing, cleaning, carpet repair, painting, labour teams, core drilling, racking dismantling and waste management.

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Demolition of internal office areas across two levels

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Removal of warehouse mezzanine structures

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Dismantling and demolition of warehouse racking systems

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Removal of conveyor infrastructure

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Decommissioning and removal of gas suppression systems

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Mechanical, electrical, fire and data service removal

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Repairs and servicing of roller doors

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Ceiling tile replacement and internal reinstatement works

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Waste removal and recycling coordination

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Full project management and trade coordination

PROJECT OVERVIEW

Structured Delivery Across a Complex Demolition Program

  

The project required significant coordination due to the scale of the warehouse and the demolition components.
NMGS ensured smooth delivery through:

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Careful trade coordination across multiple disciplines

Regular toolbox meetings and exclusion zones to manage risk

Strategic scheduling to manage works during the holiday period

Detailed safety management for large-scale demolition works

Continuous communication with the client and site contacts

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Once the tenant vacated the site, NMGS was provided full access, enabling demolition works to accelerate and maintain project timelines.

A notable milestone was the mezzanine demolition being completed ahead of schedule, helping recover time lost earlier in the program.

Sustainability & Recycling

Sustainable Demolition & Material Recycling Outcomes

A major focus of the project was material recovery and recycling.

Through careful dismantling and material separation, NMGS was able to recover significant recyclable materials from the site, including structural steel from racking and mezzanine structures.

This resulted in approximately $100,000 in rebate value returned to the client, reducing overall project costs and diverting materials from landfill.

RESULTS

On-Time, Compliant Project Delivery with Zero Lease Risk

  

The client was able to hand the site back to the landlord without lease extension costs, avoiding additional rent exposure.

The landlord, ISPT, was satisfied with the final condition of the facility.

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On time and on 

budget

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In full compliance with landlord make good requirements

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Passing final inspections and permit approvals without issue

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WHY
NMGS?

This project highlights NMGS’s ability to deliver large-scale end-of-lease make good and demolition projects within complex operational environments.

Our team provided:

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Strong client communication throughout the project

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Efficient coordination of multiple trades

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Safe delivery of large demolition works

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Cost efficiencies through recycling and material recovery

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A single-contractor solution for full site reinstatement

NEED A COMMERCIAL MAKE GOOD IN MELBOURNE OR VICTORIA?

Our client, Viceroy, engaged us to build their new office within an open warehouse. To maximise the floor space left for the warehouse, it was agreed that we would construct a double-story office. Downstairs was fitted out with a showroom that doubles as a photo area for any product shoot. Upstairs was built with an open plan office area as well as two management offices. All fixtures and fittings were chosen and installed in conjunction with the customer’s requirements, and the finished space came together well it was a job well done by all involved.