When you're researching vacant office spaces during the search phase of the commercial leasing process, it can be difficult to know where to begin. Fortunately, there is an easy way to begin narrowing down the options, so that you can focus on the offices that are the best fit for your company.

Building Classes give you some basic information about commercial office buildings and the offices within them. If you begin your search by deciding on a class that is in line with your business and financial needs, you can jump start the process. Read on to learn more about the three classes of commercial office buildings: A, B and C.

Class A Buildings

Much like grades in school, an A Class building is the best of the best. Class A buildings are the newest in a specific geographic area, making them the most modern options. In addition, Class A buildings usually have security systems in place to protect property and people and offer a number of attractive amenities.

Reasons to Choose Class A Buildings

  • Class A buildings are often prestigious in their geographic area, so they can enhance your brand image.

  • Class A buildings are highly efficient, leading to lower utility rates.

  • Amenities of Class A buildings can improve employee morale and productivity.

  • Class A buildings have professional management, making it easy to have concerns and problems addressed.

Drawbacks of Class A Buildings

  • Rental rates are highest in Class A buildings.

  • In areas where office space is in high demand, it may be difficult to secure space in a Class A building.

Class B Buildings

Class B buildings are those that are now too old to be considered Class A but have been well maintained over the years or have been recently renovated. Although their systems are not as advanced as the ones in Class A structures, they are still reliable.

Reasons to Choose Class B Buildings

  • Rental rates for Class B buildings are more economical than those of Class A buildings.

  • Emergency repairs to key systems are unlikely in Class B buildings.

  • Demand is lower for offices in Class B buildings, making it easier to secure space in areas where there is an office shortage.

  • Class B buildings generally have professional property managers to handle concerns.

Drawbacks of Class B Buildings

  • Class B buildings typically do not have the prestige of Class A buildings.

  • You may have to go without some amenities like on-site parking and security with a Class B property.

  • Utility costs may be higher in a Class B building.

Class C Buildings

Usually more than 25 years old, Class C buildings are the oldest buildings in a geographic area. Their systems may be out of date, and they may be in need of repairs.

Reasons to Choose Class C Buildings

  • Class C buildings have the lowest rental rates.

  • Class C buildings are more likely to have vacancies in areas where office space is in high demand.

  • Class C buildings are often welcoming to riskier tenants like startups and those with poor credit.

Drawbacks of Class C Buildings

  • Utility costs are likely to be high in Class C buildings.

  • Key systems in Class C buildings may break down, leading to the hassles of repairs.

  • Amenities are generally not offered at most Class C buildings, so your employees will likely have to go without parking and security.

  • Class C buildings often are not professionally managed.

  • Decor is often outdated in Class C buildings.

Here are some other articles to check out:

7 Commercial Leasing Due Diligence Tips

You Need a Tenant Rep Broker: Here’s Why

Top 10 Commercial Real Estate Terms You Need to Know

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