21
Aug
7 Tips for Finding the Perfect Office Space
Check out our 7 tips for finding the perfect office space in Boulder and the Boulder area. Watch out for triple nets, know how much space you need, and be prepared to provide financials. Call us anytime if you have questions about finding office space.
- Know what you need: Consider the amenities you need, like parking, access, delivery, FAST internet, conference room, or prime location. All of these amenities impact cost, and sometimes you have to forego one for the other, so make sure you prioritize.
- Understand NNN: Triple nets, commonly referred to as NNN or Operating Expenses on leases, are the expenses tenants pay on top of base rent: taxes, insurance, and common area maintenance (CAM). Tenants often overlook this added (and often significant) expense when planning their gross monthly rent. In some cases, triple nets can cost as much as your base rent. Make sure to budget them in! Ask to see a recent breakdown of triple nets so you can plan ahead.
- Long-term versus short-term: If you know you will be in a space for the long run, negotiate more landlord-paid tenant improvements (LPTI) in exchange for a longer-term. If you have growth needs, you can negotiate for the flexibility of a short-term lease.
- Calculate how much space you’ll need: To get started, add up the square footage of common areas such a reception area (~300-500 sf), a kitchen (~500 sf), a copy room (~150 sf), a file room (~375 sq ft) or a conference room (~300 sf); the needed offices of directors, partners, or other employees (~120-300 sf per office); and work areas for desks or cubicles (~25-48 sf per cubicle). The total gives you an idea of how much space you might need.
- Work with an agent: Working with an agent gives you professional representation and an advocate for the process. Plus it will save you valuable time! Oh, and they are paid by the landlord so it’s no skin off your back!
- Zoning: Confirm your use is allowed at your desired location. You can always check on zoning for a given property with the city and/or county.
- Be prepared to provide a personal guaranty and/or company financials: Depending on the lease term, landlords are going to want to see financials. Be prepared to provide two years of balance sheets and/or P&Ls. They may also want you to personally guarantee the value of the lease.
