As we near the end of another year, many people like to take stock of 2019 and make plans for 2020. While the most common resolutions are to eat healthier, lose weight, or quit a bad habit, you might want to consider making some professional resolutions. If you haven’t put much thought into your commercial space needs, now is the perfect time to assess your current office/warehouse/retail space and determine if it will still work for you in the new year (and beyond). Even if you have some time left on your lease, it would be in your best interest to have a game plan in place now.
Size
Finding the right office space is a little like the Goldilocks and the Three Bears story. It shouldn’t be too big, or you will find yourself wasting money on space you are not utilizing. If you don’t have plans to expand there is no reason you should be paying for space you will never need.
It also shouldn’t be too small. If your conference room has become a workstation(s), or if you are using your break room for overflow storage, it is probably time to start looking for more space. Crowded and inefficient workplaces will start having a negative effect on your employees.
Your space needs to be just the right size for you and your employees. With the right amount of square footage, you will be able to achieve an efficient layout that utilizes the entire space. Plus, you will only be paying for the amount of space you truly need.
Location
While many things in a commercial space can be changed, location is not one of them. If you find yourself in a location that doesn’t meet your expectations, or you are pining to be in the hottest and newest part of town, you might want to start making plans to relocate. There are many factors that go into relocating, but the most important one is to start planning early.
Amenities
You will find properties offering all kinds of amenities. Some amenities are pretty basic, like security and reliable infrastructure. Some are nice to have, like close proximity to transit and food and beverage options. Premium options like a health/fitness center or rooftop deck will be offered in the higher-end buildings. Maybe take a quick survey of your employees and see if they are happy with their current amenities.
Cost
Rent can be one of your biggest expenses in business. Are you confident you are paying market rates? If you signed a lease without representation you might want to consider having a tenant rep broker review your lease and determine if your rate reflects the market. Don’t keep throwing money out the window if there are better alternatives out there for you.
Conclusion
You do not have to settle for a so-so home for your company. If you have any doubts about your current space, you should make it your 2020 resolution to thoroughly review your real estate situation with a qualified commercial broker. They can give you an unbiased recommendation and advise you on future real estate decisions.
Brian Smith, SIOR, CCIM, is the owner of Regent Commercial Real Estate. He is excellent at helping his clients find their ideal space.
