Introduction:
When a business faces an expiring lease, it presents a valuable opportunity to evaluate the advantages and disadvantages of the current space, building, and location. Since the onset of the pandemic, workplace configurations have shifted toward more open and collaborative environments. As more businesses implement return-to-office or hybrid policies, creating a workspace that employees want to come to is essential. Open dialogue with staff can provide valuable insights into their needs and preferences, helping to shape an ideal future workspace. However, several other critical factors must also be considered when making a decision of this magnitude. Below is a condensed list of key considerations for the leasing process.
Key Considerations:
1. Location:
Impact of the current location on employee commuting.
Accessibility to public transportation.
Proximity to amenities like restaurants for employee and client engagement.
Attractiveness of the location for recruiting talent.
2. Building:
Adequacy of parking facilities.
Adequate ventilation
Stability of building ownership (e.g., recent sales, financial health).
Property maintenance, including response times to service requests and general upkeep.
Safety and security features like lighting, surveillance, and building access.
3. Amenities:
On-site features like fitness centers, cafés, and their significance to employees.
Current and future impact on staff satisfaction and talent acquisition.
4. Space Utilization:
Proximity of teams and departments that need to collaborate.
Accessibility of shared spaces like conference rooms and kitchens.
5. Floor Plan:
Adequacy of office, conference, and cubicle space for current and projected growth.
Suitability of the layout for the desired office culture (e.g., open vs. private spaces).
6. Budget:
Cost-effectiveness of the current space compared to other market options.
Analysis of commercial real estate market conditions at the time of renewal versus the original lease date.
Hiring a skilled tenant representative provides a comprehensive market overview, including trends, availability, and properties that align with your company’s budget. Additionally, commute time is a crucial factor for employees required to come into the office. A tenant representative can conduct a drive-time analysis for all employees, helping identify a central location and evaluating specific buildings accordingly. Partnering with a tenant representation firm ensures expert guidance throughout the leasing process, helping secure a space that fits your budget, supports company culture, and sets the business up for long-term success.
