Need Office Space for Lease or Sale? OfficeFinder can Help find your next Office. Leasing Office Space Buying Office Space Membership Online Toolkit OfficeFinder Advisor

Entries Tagged as 'Office Space'

The most Expensive Office Space in the World

No Comments »

Hong Kong $248.83 per square foot

London - Central (West End): $220.15 per square foot

Tokyo  $186.49 per square foot

Beijing (Jianguomen — central business district): $180.76 per square foot

Moscow: $171.53 per square foot

Beijing (Finance Street): 166.89 per square foot

Hong Kong (West Kowloon district): $158.72 per square foot

São Paulo, Brazil: $144.75 per square foot

New Delhi (Connaught Place — central business district): $140.21 per square foot

London - Central (City): $131.51 per square foot

Midtown Manhattan average only $114.30  per square foot. What a deal!

Read more

Find Office Space

London Office Space , Office Rental , Office Space , Office Space Negotiations , Tokyo Office Space

When Disaster Strikes Your Office Space

No Comments »

When Disaster Hits, You Want to Know What your Commercial Office Lease Outlines

Disasters do happen. Hurricanes, tornadoes, earthquakes, wildfires, mud slides – every building in every location is subject to one or more potential natural disasters. And then there are the disasters that are the fault of man – a truck can drive into your office front, another tenant can cause a fire due to neglect, or faulty workmanship can result in plumbing pipes bursting or any of several other major disasters.

Major disasters are likely to make your commercial office space uninhabitable for a long or short period of time causing major impacts to your cash flow and the lives of your employees. Even a minor disaster can cause your business to be impacted for days at a time. More importantly, who is responsible for fixing what damage in the event of a disaster not caused by you or your employees’ neglect?

The time to learn the answers to these questions is not after the disaster has occurred. You should discuss and review these areas of the lease and negotiate if needed to obtain lease provisions that will protect your business. You’ll also want talk with your insurance agent and go over policy clauses in view of the impacts of disaster on your business.

Rent Abatement:

A common but tricky provision in commercial property leases is rent abatement. This provision states that in the event the property is damaged the landlord will allow the tenant to suspend paying rent until the property is repaired. Some damages covered may include fire, flood, and common natural disasters such as tornado or earthquake, as well as any forced evacuation due to mandate of the city or county government. The landlord’s business liability insurance may provide coverage that will permit the owner to offer rent abatement. Items inside the business are usually covered by the business owner / leasee’s liability or renter insurance.

This all sounds straightforward but problems can arise when landlords include an addendum to the lease’s abatement provision that says if the tenant or tenant’s employee caused the damage, the abatement is nullified and rent must continue to be paid on-time. With this type of addendum, landlords can double-dip by continuing to get rent from you while still collecting from their insurance company.

This portion of a commercial lease requires sitting down with your tenant representative and possibly your attorney. Be sure the lease does not put undue liability on your business.

Insurance Clauses:

Perhaps the least understood points in a commercial lease are the provisions regarding insurance. Often, at least to an extent, the tenant may be self-insured. This fact, when found out the hard way, can be financially bankrupting. The Chairman of the ITRA, Dr. Ronald R. Pollina, explains that corporate tenants should consider these questions when negotiating or reviewing leases:

  • What is your risk exposure in the event of liability or injury?
  • If your leased space can’t be used because of injury, loss of utilities, or casualty, are you still obligated to pay rent?
  • Are you or the landlord responsible for the cost of relocation in the event of a business interruption?

Keep in mind that most leases are designed to protect the landlord from losses. You can expect to carry property damage insurance, liability to third parties, bodily injury, and business interruption insurance.

There are many more insurance considerations and these should be discussed with your tenant representative and insurance agent. Protect your business in as many ways as practical and affordable so you don’t get stuck having to spend money over something that could have been avoided through wise lease negotiations. 

More on Disaster Recovery

Find Office Space

Office Leasing Tips , Office Space , Office Space Negotiations

Negotiating the Best Commercial Office Lease: The Standard Office Space Lease Agreement

3 Comments »

So you’ve found that perfect commercial office space for your organization, whether a small start-up or huge corporation. You’ve viewed the property and made a clear assessment that all your needs are available at the selected location.

Once you’ve told the commercial office property owner that you want to locate your business in their property, you are likely to be presented with a standard lease package. Do not sign any papers at this point but accept the lease for review. Explain to the landlord that you much go over the lease with care so that you completely understand it.

You specific needs are unique and may require significant lease changes during negations. Here are a few specific points that any tenant should look for in the standard lease package:

·         An accurate description of the commercial office space should be clearly listed in the lease.

·         How much is the rent and exactly when is it due? Are there any late charges if not paid on the correct date?

·         Is there a security deposit and how much is it? Under what conditions is this deposit repaid upon vacating the commercial office space and what conditions permit the landlord to refuse to return the security deposit?

·         What is the lease period and are there provisions to facilitate lease renewal if desired?

·         What are the terms in the lease regarding vacating the premises early? Do you have the right to move into another, larger office space owned by the landlord without penalty? Do you have any rights to rent additional space if your business grows more rapidly than anticipated?

·         Is there a cleaning deposit for preparing the space for the next tenant when you vacate the premises and is this fee returned if you leave the premises in the same condition as upon delivery?

·         Identify verbiage defining how much parking may be used by the tenant and what, if any, number of spaces can be marked as reserved.

·         Review all references to use of common space. You should have the right to enter and egress at any time of day or night and access to all common spaces unless specific restrictions are contained in the lease. Also, watch out for clauses regarding common space upkeep or charges.

·         The lease should clearly state what utilities are the responsibility of the tenant as well as what are paid by the landlord. The same goes for charges for maintenance and repairs for any problems not the result of misuse or neglect on the part of the tenant.

·         Is there are space in the lease or reference to an addendum where notes regarding the condition of the property at delivery may be noted.

·         Is there any defined allowance for tenant improvements?

·         What rights to signage are included in the lease?

·         Does the lease provide for delivery of a punch list after tenant improvements are accomplished?

There are dozens of additional points that will stand out in the lease to you. Some of them may be points you do not understand and you should highlight these for investigation. Other verbiage may not meet your needs. Highlight each portion of the lease that either is unclear, misleading or requires negotiation. These are items that you will need to cover with the help of your leasing team.

In the next article in this series we will determine who the members of your leasing team should be and how to select the best team to ensure the best commercial office lease for your business. 

Find Office Space

By: James Osgood

Office Leasing Tips , Office Rental , Office Space , Office Space Negotiations

Negotiating the Best Lease for Commercial Office Space: An Introduction

1 Comment »

Perhaps you operate a small start-up business that has outgrown your home office. Maybe your company is mid-sized and is growing out of the commercial office space you occupy. Or, you may head a large organization that needs an additional facility to support a new contract. Whatever your situation, you’ve realized that you need to lease a commercial office space.

You’ve begun the search for space. You may have used an online commercial office locator such as Office Finder or you may have search by driving by empty facilities. Whatever method you used, you’ve found the perfect location that suits your every need. It has location, location, location, plenty of parking for employees and customers, good security, and you have decided it is the spot for your organization whether large or small.

Now you are ready to negotiate the best lease possible. The lease negotiation process is much like visiting a foreign country where you do not speak the language. You might walk into a restaurant, thinking you ordered chicken and be served fish.

In order to obtain a lease for the commercial office space, you need an experienced guide who will have your best interest at heart and who has negotiated many successful leases in the past. A lease broker is a necessity. It’s a sure bet that the landlord or property management company offering the lease has plenty of experienced assistance to help them get the advantage. So, protect yourself by following some important processes that can help you negotiate successfully.

In this series of posts we will look deeper into the necessary processes and step:

The Basic Process: In this process we will look into reading the standard commercial office space lease initially offered by the landlord and spotting the points that require negotiation.

The Team you Need on Your Side: Here we will look at choosing a Lease Broker, Space Planner, and Legal Counsel if needed. We’ll determine why this team is needed and what each party will do to help you negotiate the lease.

When Disaster Hits: - What terminology does the lease contain regarding damage, whether caused by you or by an act of nature and who is responsible for what costs. You really want to ensure you protect yourself and your organization when the totally unexpected occurs.

Financial Analysis: How and why do you need to do a full financial analysis on what it will really cost you to lease the commercial property?  The results may surprise you and negotiation points will be revealed that are not apparent by simply reading verbiage in the lease.

Relocation Clause Protection: What happens is your outgrow the office space before the lease ends? What happens if you need to relocate due to property condemnation or any other reason?

Tenant Improvements Allowances and Permissions: This important leasing process determines what tenant improvements will be permitted and who will pay for what. This negotiation point can cost you thousands of dollars if not addressed property. Learn how to get the best lease options in this area.

The Devil is in the Details: The fine print can be difficult to understand but is just as important as any other process of commercial lease negotiation. What details should you and your lease broker discuss in detail and how should they be negotiated to protect your unique interests?

The Final Step, Lease Signing: After negotiating the best commercial office space lease for your organization, it is at long last time for you and your lease broker to sit down at the table with the landlord and his or her team and sign the legal documents after a final review.: 

Lease Office Space

By: James Osgood

Lease Negotiations , Office Leasing Tips , Office Rental , Office Space , Tenant Representation

HD Video Conferencing in the Rise?

No Comments »

As the workplace morphs to absorb the Gen X and Gen Y work-styles we are likely to see an increasein the use of HD video conferencing for remote workers, allowing them to stay in touch with the office. One of the key traits of the newer workforce is their desire for the ability to work independently from the corporate office enviroment. Business like this too since it will allow them to reduce the amount of office space they need to lease. Seems like a win-win.

Some of a recent press release:

LifeSize, a division of Logitech (NASDAQ:LOGI) (SIX: LOGN), is joining forces with Regus (LSE: RGU), the world’s largest provider of flexible workspaces, to bring LifeSize HD video conferencing to businesses and the public at more than 240 Regus locations worldwide. Regus customers can now easily communicate with colleagues around the world via video or conduct business over HD video while traveling.

A wide variety of video collaboration scenarios including:

  • Seamless video calling with customers and partners, regardless of their video platform
  • Remote candidate interviews, connecting candidates to interview teams through local Regus offices
  • Data sharing and collaboration with colleagues while traveling

 

One of the keys to the potential success of the LifeSize program is that it is compatible with multiple video platforms. In other workds, folks at teh head office could be using the LifeSize platform whil the remote worker could be using a basic platform. It will allow for easier integration for eveyone involved.

Find Office Space

Executive Suites , Flexible Workspace , Office Space