Consider the following as you search for a new office location for your business.
Whether your business is an expanding blue chip company or an early stage startup, factors such as location, cost, and your long-term business needs will have implications on the success of your business.
“Finding the right office space requires strategic planning as it represents a considerable financial commitment for any business,” says Bruce Wettenstein, a partner at Vidal/Wettenstein, a Westport-based commercial real estate brokerage and advisory firm.
Is the location suitable for my business?
One of the most important considerations is employee commute time. Conducting a commute analysis for top employees is a great way to narrow down your office space search.
It’s also important that your new office is accessible for your clients. Relocating from a centrally located office to a suburban one may save money but can cost you clients in the long run.
Additionally, today’s workforce prefers locations that are near mass transit such as rail line and bus routes. A centrally located office will help retain and attract top talent to your company.
Amenities are also a key consideration – top landlords are offering amenities and services to accommodate evolving tenant preferences. Time crunched employees appreciate office buildings that offer convenience and save time. These include shuttle service, in building daycare, dry-cleaning service, on site food service and fitness centers. These amenities will help drive employee productivity and reduce turnover.
Long-term Business Needs
Is the space aligned with the long-term needs of my company?
Companies must consider their present office space needs while also projecting what the future holds. If your company is poised for growth, consider a building with additional space should you need it. By contrast, if you see your company cutting costs or being sold, factor this into your decision before signing the lease document.
How much will the new location cost?
Cost per square foot is a starting point, but many other factors will affect your bottom line. In order to calculate the entire cost of your rent, consult with your commercial real estate broker to understand what’s included in your rent. Depending on the type of lease, you may be responsible for utilities, taxes, maintenance and other fees.
Additionally, all office space transactions are negotiable. Higher than average vacancy rates in some markets enable brokers to negotiate favorable terms for office space tenants. Concessions such as free and reduced rent may be achievable.
Founded in 1968, Vidal/Wettenstein is a commercial real estate services firm headquartered in Fairfield County, Connecticut. Recognized as the standard of excellence by clients and industry professionals alike, Vidal/Wettenstein strives to consistently outperform expectations. Our professionals have engineered some of Fairfield and New Haven counties most distinguished deals. We have worked with local, regional, national, and international clients on a full spectrum of commercial real estate services.