REoptimizer^® Blog

Moving to new office space is a major undertaking, and it's not something you want to have to repeat frequently. Taking the time to ensure that the office space you're choosing is the absolute best fit for your needs can lower the likelihood of your having to relocate again when your lease is up.

When you start to look at building classifications while doing your research on available office space, things can begin to seem like alphabet soup pretty fast. You'll often find A, B and C class buildings located within the same general geographic area, and all those letters can begin to blur together after awhile.

Just because you have a full service or gross lease does not necessarily mean that you are shielded from exposure to an escalation for operating expenses. Many owners protect themselves by adding base year provisions to their leases and by raising the reimbursement portion of the full service lease when expenses exceed those in the base year.

The five highest "Occupancy Cost " markets in the United States and Canada all feature average gross asking rents of over $35.00 per square foot. Given that these rents are market wide averages, your company could end up experiencing even higher office rent expenditures. However, if you need to be in any of these markets, there are ways to manage costs and make even the most expensive space more affordable than it seems.

In commercial real estate, a longer lease will usually give you a better rental rate, but many companies are hesitant to opt for a lengthier lease due to worries they'll end up in a space that doesn't suit their needs and be locked in. To decrease your risk of making a mistake when you're selecting a building to lease, do the following:

Getting ready to negotiate on a commercial lease? Many business owners are surprised at how long it takes to arrive at agreements and complete lease transactions, but the process can be smoother and simpler when you follow these simple tips:

If you're used to leasing office space, industrial properties can be surprising. Instead of worrying about glass line, lunchtime amenities, and how many workspaces you can squeeze in a floor cored by elevators, you end up having to worry about aspects of the building that you probably never considered with office space. After all, it's safe to assume that any office space can power laptop computers, maintain 70(ish) degree temperatures and support people and furniture. In an industrial building, these and more factors are all important parts to consider.

The saying bigger is better applies to a lot of things, but office space isn't one of them. Every square foot of office space costs you money, so the last thing you want is to go unnecessarily big and raise your rental rates as a result. As you consider the commercial leases your company holds and work to optimize your portfolio, be on the lookout for these signs that you may be ready to consolidate and cut down on office space: