12 Questions to Ask When Leasing Office Space
Whether you’re navigating the office space market for the first time or you’ve moved your business before, it’s crucial that you ask the right questions throughout the leasing process to... Read More
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December 30, 2019 | by
Reviewed by real estate expert Jonathan Wasserstrum
Flex space solutions are relatively new to the world of commercial real estate. Traditionally, there was only one method for acquiring office space. A company, no matter its size, would need to search to find and lease its own commercial space. Choice of lease term, location, and size would all have to be very carefully made, as the company might be in this space for a very long time. There were very few flexible lease options for commercial tenants on the market.
Once the lease was signed, there would be the task of setting up the phones, the computers, the internet, and the furniture. In addition to any buildout requirements that may be needed. An office manager might need to be put in charge to take care of the numerous day-to-day aspects of running an office, from ensuring the vending machines and snack cupboards are stocked to getting the bathrooms cleaned.
While more established companies may be experienced in finding and setting up a new office space – some even having dedicated departments for this purpose – for the increasing number of growing businesses finding an office could be a headache. Office rent options were not conducive to growing companies who required flexibility on their lease term. In many cases traditional landlords require leases of 10 years or more. Making it very difficult for companies expecting hyper growth.
But, today, flexible office space solutions are being introduced across the market and in many buildings. A wide array of flex space options and services are now available to meet the demands of every kind of business, whether it’s a two-person start-up or a thriving company.
Flex space can mean a lot of things, but the point is that it’s a space in a building meant to conform to your needs – not the other way around. A flexible office space might be able to expand or contract as your employees do. It might be a space where the office furniture can be easily rearranged or replaced as your preferences or needs change. Flex space is designed to better support the future of your business.
Flex spaces often have shorter-term leases (or no lease at all), so that a company does not have to be locked into one place or property for a long time. Because a growing company might come to realize that it would be better served by a different location, or a different sized office, this kind of flexibility is a massive benefit.
A flex space may be ideal for a business that has its headquarters in one place, but is interested in opening a satellite office location elsewhere. It can be a huge disappointment for a company to invest in establishing a new office, only to have to close it down soon after due to unexpected changes in the business plan. By setting up the new satellite office in a flexible space, there is less expense, overhead, and commitment, so that this type of expansion doesn’t pose as much risk.
Some flexible office space solutions are based around the idea of having shared office space with other companies. While some successful businesses famously began in the founder’s garage, today’s shoestring-budget start-ups can actually enjoy the advantages of an office environment if they don’t mind sharing the space with other small businesses and self-employed individuals.
This is far more cost-effective since the various individuals and small companies in the shared office space are sharing resources, from the receptionist at the front desk to the cleaning crew that comes at night.
Shared offices, sometimes referred to as coworking spaces, have become increasingly in demand especially in NYC. In a city chock full of entrepreneurs, start-ups, remote workers, self-employed people, and ambitious small businesses, there is a big need for coworking spaces that provide an alternative to the distractions of home or a public place. Coworking spaces in NYC often attract companies for their shared facilities and office benefits that are not provided in traditional space.
There are many coworking spaces throughout New York City, with companies like WeWork, Regus, Industrious, Bond Collective, KettleSpace, and Green Desk among them. The average coworking space in NYC provides a desk, high-speed internet, access to conference rooms, printers and copiers, a kitchen with snacks and coffee, and often several other interesting amenities—all included in a monthly membership fee.
If you are looking for a temporary office in NYC, coworking can be the perfect option, providing all the conveniences of a fully-equipped office for as long or as short a time period as needed. However while these features can be attractive to business, to share offices isn’t for everyone. Traditional types of office space with flexible leases are preferable for some companies for many reasons.
In many cases, a flex space can be move-in ready and equipped with an office manager, so your business doesn’t have to spend tons of time setting up internet and phone, establishing contacts with service providers, and arranging furniture deliveries. It really comes down to cost, what you need and what your company’s priorities are.
If you are seeking flexible office space in Manhattan (or beyond), but are not sure where to begin, there are specialists that can help you understand your options. Pivotdesk offers consultations and can help set you up with the right arrangement, whether that’s a shared office space, a satellite office, a private office, or even a virtual office.
FLEX by Squarefoot is also a great new service that helps companies find more traditional office spaces, but with flexible benefits like shorter-term leases. They can also help with setting up and managing coworking services, if that is the type of flex space solution that meets your current needs. SquareFoot is designed to set you up with the right type of flex space to help your business grow. With demands in office space markets shifting, landlords and their properties will continue to evolve to newly developed flex space solutions.
SquareFoot is a new kind of commercial real estate company. Our easy-to-use technology and responsive team of real estate professionals delivers the most transparent, flexible experience in the market. Get in touch to start your search today.