In this article, we explore:

• The key differences between direct leasing and subleasing commercial space.
• The benefits of subleasing, such as flexibility and cost savings, especially in a market impacted by COVID-19.
• How COVID-19 has amplified the pros and cons of subleasing for tenants.
• Why long-term commitments in direct leasing may also offer significant advantages in today's market.

One of the basic questions that tenants need to ask themselves (or discuss with their tenant rep) is whether to look at traditional direct leased space, subleased space offerings, or both as part of their search for a new location. COVID-19 has tweaked the equation, though. Due to a shift in the power balance in many markets toward the tenant, both options have become more attractive, but the benefits of both have diverged.