How much do you know about office space?

Thirty-one years ago I got into the commercial real estate business. It was quite fortuitous. I was taking ballroom dancing lessons and my instructor asked me if my wife and I wanted to join her and her boyfirend after the next lesson. We did and it turned out he owned a commercial real estate brokerage company and offered to hire me as an office leasing broker. I literally knew nothing about real estate before I got the job. Now, thirty-one years later, I know a lot. I learn something new every day. I read real estate magazines and trade papers and my company is constantly supplying information. This is the total focus of my business life, (notice I didn't say my entire life). So what's my point? Simple, if a landlord hires me to help lease office space in his building, and you come along with an interest who is in a better position to win in the negotiations? If knowledge if power, then I can totally dominate. What if you brought me along on your side? Now, at least you have a fair match.

Next question...How much do market conditions affect the outcome of negotiations? If it's a fair match, as described above, then market conditions can rule very strongly. If it's not a fair match, then the stronger side will dominate. In other words, two well matched real estate experts will end the negotiations within a relatively narrow range for a deal as determined by market factors, while two unequally matched parties can be pushed all over the map.

Conclusion...Which works best for you? Thought so. Get a knowledgable, experienced and respected broker on your side and you will do far better for yourself.

Comments

[New York Office Space]

It's amazing how you can start out your evening with dancing and next thing you know, it's 31 years later and you're in the midst of a lucrative career. You're absolutely right about finding the right broker to help you find the best commercial space for one's business. There's other options that a good broker can give like working through an agency not only to provide the right space to conduct business, but offer virtual/temporary office spaces as well: Complete with full services (receptionist, equipment, etc.) to quick turnkey operations.

[Randy Eigen]

Yes, the shared services providers can fulfill a great role for some, like those who need to expand quickly or enter new markets on a test basis. I have seen a few cases that through downsizing wound-up in shared services, but that usually is not the best answer after you've run your own operation. Most only last a few months and then they move on, or sometimes they move back home because the cost often comes out of their personal budget.
Thanks for your feedback.

[Virtual Offices Melbourne]

Nice article! Our real estate agent will ask us what our requirements are in terms of how many square feet we will need. This is a relative measurement of which properties are in the ball-park and which ones are not. In addition to square footage, the number of permanent office and rooms required will also aid in an efficient office search. Thanks for the information.