Monthly Archives: October 2013

Biggest Mistakes Office Tenants Make When Looking to Rent Office Space

Over the years we have posted lots of information about the mistakes that office tenants most frequently make. A big one is thinking that the landlord’s listing agent will look out for their best interest when they’re looking for office space for rent or lease. They won’t. They have a responsibility to the office space manager or landlord to get them the best deal possible. They have a contract that says so. If a listing agent tells you otherwise, beware.

Price is not the only issue you need to be concerned about. The terms of the lease can have a huge impact on your cost and ability to avoid mistakes that will end up biting you in the rear.

So where does that leave the office space tenant looking for office space? Set up for another big mistake – not having your own agent who knows the market and the business as your office tenant representative. In the US and Canada it won’t cost you anything. In fact, it will save you money by ensuring you get the best deal possible and avoid costly mistakes. A good tenant rep, like the ones at OfficeFinder,  represents office tenants every day. They  negotiate leases for a living, while chances are you will only have to do so a half-dozen times in your business career. Who do you think will do a better job?

What we have seen over the past 10 years is a transition from business owners and managers who recognize the value of a good office tenant rep to many that think they can do it themselves and are suspect of real estate agents. This has come about from the plethora of information and listing sites on the Internet and too many unqualified agents claiming to be good office tenant reps.

What you see on the Internet related to available space is only the tip of the iceberg and much of it is simply out of date or wrong. There is no way to really determine the deal points of recent office rentals or leases from information on the Internet. The only way to really get good information is from someone who is in the business day-to-day.

So, if you want to rent office space and get the best deal possible, avoid costly mistakes and have a hassle free experience. Engage the services of a qualified tenant Rep.

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The 3 Biggest Mistakes Tenants Make (SlideShare)

Regus Continues Rapid Growth of Office Business Centers

In an interim financial report that just came out, Regus, the worlds largest provider of flexible workspaces with 1,687 office centre, announced that they expect to add between 420 and 440 new office centers to their network in 2013. That is up from a planned 350 for 2013. It looks like they have the accelerator to the floor.  So far this year They have added 292 new centers compared with only 121 at the same point last year. The question in my mind is with such rapid growth will they be able to maintain good occupancy or will we see low profitability from the new locations?

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By: James Osgood

 

What To Look For In Your Office Rental

When looking at an office rental space, it is clearly important to consider what kind of place you really want to have. It has to be a good balance of needs and wants in the space in order to make it perfect. The business owner has to consider things like how much money he or she has to spend on an office rental, but it is more than that. Other factors such as space requirements and employee morale have to be weighed in as well.

In an entrepreneur.com article, author Christopher Hann quoting a man named Bill Armstrong, treasurer of the National Association of Realtors, when he says:

“If you lease more space than your business requires, your monthly rent could consume an excessive chunk of your precious resources. If you’re a startup, you’ll want to account for future growth. But how much? Be thrifty.”

That speaks to the point that one must think about how much office space they honestly need to rent in order to keep their operations running.

Once a reasonably priced office rental space has been located, it is important to lock in what kind of layout and design you are going to approach for your office. Some of the existing layout may well work for you to get certain things accomplished, but it may not work out exactly as you had hoped in the long run. It is important to consider all of these factors and think about if this is something that you want to stick with.

An office rental is important to every business owner because this is the centralized location where one will be doing all of their work. It is where workers will come in for perhaps years to come. Give it plenty of thought and find the place that is going to fit your needs just right.

It makes sense to get assistance from a professional office space tenant representative like the ones we have at OfficeFinder. It is a free service to you. Contact us about any questions you may have about how to find the perfect office space.

Prince George’s County Office Space Market Conditions

Prince George’s County, Maryland, is named after Prince George of Denmark.  Nestled in the Atlantic coastal plain, its landscape is a beautiful mix of gently rolling hills and valleys.  The county is part of the Baltimore-Washington, D.C. Metropolitan area, and is home to the Joint Base Andrews, the Census Bureau, and NASA’s Goddard Space Flight Center.  Historically, the county was once inhabited by dinosaurs in the Cretaceous Era, whose fossils are now preserved in a 7.5 acre park in Laurel.

Prince George’s County economy has always been predominantly agricultural, with tobacco being the main crop through the 1900’s.  With the end of the Civil War, the slaves that worked the tobacco fields were freed, but the economy was still majorly supported by the tobacco farms.  The 70’s and 80’s County leaders sought to expand the economy through industry and commercial enterprise.  Despite these economic changes, Prince George’s County still retains its rural character and agricultural lifestyle.

Prince George’s County Central includes the area between Bowie and Landover, and through the south.  Central county has a diverse employment base, fueled by Andrews Air Force Base.  Limited demand and tenants vacating space contributed to this submarkets’ sluggish office market conditions during the 2nd quarter of 2013.  The Central county submarket had an overall vacancy rate of 18.1% in Q2 2013.  Average asking rents for Class A office space are at $22.67 per square foot.  Class B office space is slightly lower, at $19.95 per square foot.  The overall outlook for this sub-market remains subdued as tenants are reluctant to take space.

Prince George’s County North encompasses Laurel, Greenbelt, College Park, and Beltsville/Calverton.  The NASA Goddard Space Center is the major contributor to this area’s economy.  As in Central county, the North county sub-market has been experiencing a slowdown in the office sector.  In mid 2013, net absorption was at -104,000 square feet, with the overall vacancy rate at 21.5%.  Average asking rents for office space in Prince Georges County North are at $22.40 per square foot for Class A space, and $19.90 per square foot for Class B.

Despite the current lull in the office space market for Prince George’s County, overall, the conditions are expected to improve, positioning the county for long-term growth.

Find Office Space in Prince George’s County North or Prince George’s County South

Bog Archive Still Available

Just a reminder that all of our 431 previous posts are available on our old Office Space Blog site.

Rethinking Productivity in the Agile Workplace

Many business owners are changing the way they think about productivity in the workplace by creating agile, non-traditional offices. Using telecommuting, third place workspaces, office hoteling, and other fresh techniques, they are creating workplaces that retain the best and brightest employees, increasing productivity, employee satisfaction and increase their profits, too.

Changing an office work style isn’t as simple as a wholesale change and a deployment meeting announcing the changes. Business Owners and managers with office space must rethink how they think about productivity in order to help employees and managers to make a smooth transition. Here are some steps to include in the process to ensure success:

Commit: Determine that you are willing to commit to wholesale change in corporate workstyle and office space. Realize that you are committing not only to changing the office space square footage and layout, but to the amount of face-time you’ll have with employees. Commit to thinking of productivity as accomplishment, not as time at a desk in the office.

Influence and Build Support:  If you are a manager, you will need to change the way you think about productivity. it will no longer be the hours worked, but what has been accomplished by those you manage. Business owners or managers must accept that a change in workplace style requires a change in management style; influence and facilitate is the change in thinking that is needed. You will need to change from thinking about office space and hours to thinking of work life and work accomplishments. After all, in an agile, streamlined office space much of the work will not happen inside the walls of the office.

Think Productivity, Not Space Reduction: Agile office spaces have smaller footprints than traditional offices. Up to 50% less space is required, but don’t fall into the trap of making the changes solely to save money on real estate office leases. In fact, the result of the change could be turning your current office space into an agile workspace and expanding staff to grow into new areas of profit. Rethinking productivity and making the changes will work only if you are motivated by a desire to improve the organization and make work life better for those who earn their livings in your company.

Avoid Analysis Paralysis: You want to research how other companies have made changes in productivity workstyles and how they have benefitted and see how those or similar changes can improve your own business. Sure, you need to do some analysis, but don’t let your organization fall into the over-analysis trap. Set a few data points to measure over a short period of time, such as desk occupancy, and use that data to plan changes.

Embrace and Celebrate Change: Business owners and managers must embrace the changes they implement and take time to recognize and celebrate the changes as employees adjust and excel in the work productivity environment. Point out how the changes being deployed can benefit employees and show, by your own actions and attitudes, how you personally embrace and celebrate the new opportunities provided.

We can help. Contact us so we can get you started finding out about creating an Agile Workplace and how it might work for your company.

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