The Office Space Leasing Process
The process behind the decision to lease office space can take quite a bit of time. You need to make the best decision possible, as the space you move into will greatly affect how your business operates. Therefore, don't expect to be able to determine your criteria, review your checklist and move into a new building over a weekend.
There are several different factors to consider (all of which take time) during the office space leasing process. Here is a brief look at the steps involved with the leasing process and a general guideline as to how much time to set aside for each stage of the process:
There are several different factors to consider (all of which take time) during the office space leasing process. Here is a brief look at the steps involved with the leasing process and a general guideline as to how much time to set aside for each stage of the process:
1. Define basic space requirements:
- Size and layout
- Expansion and option space
- Price and term
- Image and quality
- Geographical area
- Intangibles and goals
2. Selection / interview with support team:
- Space Planner
- Interior Design (if desired)
- Attorney / CPA
3. Determine Available alternatives:
- General market knowledge
- Search of database
- Verification of terms and conditions
- Review list of alternatives
4. Narrow down alternatives:
- Inspection tours of likely alternatives
- Selection of four or five best alternatives
- Space planning of best alternatives
- Review and re-draw of space plans
- Selection of top two or three alternatives
- Request for proposals on top alternatives
5. Analysis of proposals and alternatives:
- Financial analysis
- Layout efficiencies
- Intangibles and goal analysis
6. Final selection:
- Choose top alternative
- Establish terms required
- Prepare and present counter-offer
- Approve, re-negotiate, or select other alternative
- Review lease for business points
- Review lease for legal points
- Review Workletter
- Re-negotiate lease terms
- Sign lease
7. Tenant improvement build-out:
- Monitor progress
- Report progress
- Final walk through check