As the life cycles of businesses mature and grow over time it becomes necessary to re-evaluate your office space when your lease is coming up for renewal. Square footage requirements factor as just one component of the decision process to remain where you are or look for new space. A comprehensive evaluation also includes the following issues in today’s modern business atmosphere and serve as a guide to stay or go.
1. Are You Using Your Square Footage Efficiently?
Take a hard look at where your business is now and where it’s likely to be in 5-10 years. Do you have underutilized offices, conference rooms or other spaces? If so, you’re paying for unnecessary square footage. A move to a smaller footprint would be more cost effective and enhance productivity. Just make sure your new space can accommodate a little unforeseen growth.
2. Your Rent is Higher Than Your Neighbors
Do you know how your rental rate compares to other tenants in the submarket? How about compared to other tenants in your building? Your tenant advisor can mine this information and other key data providing the necessary leverage for successful negotiations with your landlord, whether renewing or relocating.
3. High Employee Turnover
While a number of factors contribute to a high employee turnover rate, one of them is most certainly the location and physical condition of their workplace. Do your employees like where they work? Is it an easy commute and easily accessible? Are there enough amenities close by? Is it a comfortable environment? Find out if your current office space is bringing down the mood. If it is, it may be time for a change.
4. Too Little Space
Employees need enough room to work safely, comfortably and productively. Too little room is not only a problem, it can bring down morale. Also, make sure you have enough space for future growth.
5. Does Your Space Reflect Your Brand?
As the saying goes, you never get a second chance to make a first impression. Your building is the first impression for your clients and customers. When they enter the lobby of the building, what’s their first impression? Does it reflect your business and branding? How about the corridors, elevators, artwork and finishes? When considering a new location, make sure the building reflects your brand.
6. Your Layout is Outdated
Think about how well your current space suits the way your employees work. Are collaborative teams located near each other in adjacent offices or an open work space, or are they spread throughout a choppy floor plan? Do employees that need to concentrate or deal with sensitive or confidential information have private places to work? Ideally, an office space should have a blend of both open and private working areas. The nature of your business will dictate how much of each is required and whether or not your current office is able to provide it.
After guiding you through a comprehensive evaluation of your office space needs, whether you decide to stay or go, we at howardcommercial can provide you with the tenant representation you deserve. Give us a call at 314-821-0085 or email doug@howardcommercial.net.
