Houston Office Space: What are the most important things to consider?

Article Written By: boxerproperty

The question about how to begin searching for office space is often the first thing that people wonder, if you have never looked for office space before. The process is somewhat complex and it can present quite a learning curve. Getting the facts up front can prevent you from acquiring an office space that does not suit your business needs. When you search, consider the location, the price per square feet, the type of lease, and the amenities.

For location, you want to lease office space where your business is easily accessible from major routes. If you need walk-in traffic, find a place that is visible from major roads and be sure to install noticeable signage. Keep in mind that your location impacts your clients as well as your employees so choose a location that satisfies all ends of your business.

The price per square foot is a cost metric that you can use to compare different office spaces that fit your preferences. The price per square foot is influenced mostly by building class and location. Class A buildings are more modern, fancier, and are built in highly desirable locations. Class B buildings are also modern or remodeled, not as fancy, and are located near highly desirable locations. Class C buildings are a real bargain if you do not need to make major impressions on clients and prospective clients, because they lack the luster that the other two classes hold.

Along the lines of expenses is the price per square foot and the type of lease. What a lot of tenants don't realize or research prior to acquiring office space is all of the cost components that are included in a lease. Leases come in two main types: Gross Leases and Net Leases. Of these two main types, derivative leases are formed that differ by defining who is responsible for certain costs. As a tenant, you want to acquire a lease that shifts all costs outside of base rent to the landlord. That way, you know what your monthly rent expense is. If you enter a lease where you share expenses beyond base rent, you could be paying for building repairs, maintenance, and these costs can fluctuate causing problems with your cash flow budgets.

As you examine amenities, don't forget the important ones, such as conference rooms, 24-hour electronic access, on-site security, computer networking infrastructure, kitchens, break rooms, and common areas. It's hard to list all of the amenities and advise that every tenant should have them, so you should do some research on the available amenity types that are out there and see what fits your needs.

About the Author

This information has been provided by a professional that works in commercial real estate and markets Houston office space.

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