When you're in the process of moving to a new office space or expanding to a new location, it's easy to get bogged down in the small details of your search. Still, it's important that you take a step back and think about the big issues before you begin to compare office spaces and that you continue to keep them in mind throughout the process. The following five considerations should always be in your thoughts when you're considering offices to lease.
1. You're Not an Expert in Real Estate
You are an expert in your line of business. You may already have a commercial lease portfolio, but that doesn't mean that you're an expert in the field. Just as you wouldn't attempt to navigate a lawsuit without a lawyer or to undergo surgery from someone who wasn't a doctor, it's a mistake to go into the office space search process without an expert by your side.
A tenant representative broker can help you every step of the way. He or she can help you assess your needs and can get you in to look at spaces that you might otherwise never have access to. With their experience and knowledge of the industry, reps also make valuable allies during the lease negotiation process. And because the landlord covers their fees, hiring a tenant rep won't increase the cost of the search process.
2. Leasing Terms Matter
The length of your lease is one of the most important considerations. Short-term leases give you more flexibility and can help you future proof your business. On the other hand, longer leases are more appealing to landlords, meaning you often have more negotiation power if you're willing to pledge to occupy your space for several years. You'll need to carefully balance your need for flexibility and your budget when selecting a term.
3. There's More to Consider Than Rent
No matter where you are leasing, your costs include more than just the rent for the square footage in your office. You'll also be assessed a Common Area Maintenance fee to cover the costs of maintaining the shared areas of the building. In many cases, you'll also have utility costs to consider. Make sure that you have a clear understanding of the actual cost of occupying your space before you sign any contract.
4. Your Office Space Affects Your Team
Don't forget about your team when you're considering office spaces. While the idea of choosing a building in an out-of-the-way, difficult-to-access location to save money may be appealing, doing so could come at the expense of employee morale. Always ask yourself, "Would I like working here?" If you can't say yes immediately, you may want to rethink the location.
5. A One-Space-Fits-All Office Doesn't Exist
Different job types require different types of settings. Some employees may benefit from an open floor plan that allows for easy collaboration, while others may require the privacy and quiet of a closed office. Make sure that you carefully consider the needs of workers when selecting a space and designing the layout.
Here are some other articles to check out:
What is Tenant Representation?
Is Your Commercial Real Estate Ready for the Recession?
The Pros and Cons of Locating Your Business in the Suburbs
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