It's time for part 2 of our Commercial Real Estate market turmoil survival guide. But if you missed part 1, here's Combat Commercial Real Estate Market Turmoil Pt. 1!
Are You Fully Exploiting What You Have?
Most companies aren’t. Calculate your employee/square footage ratio—is your space being fully utilized?
The average amount of space required is 200 sq. ft. per employee for an office. Can you consolidate in certain areas or use flexible workspaces? Consider cloud technology in favor of bulky file cabinets and server rooms.
For warehouse operations you should consider exploiting racking. Racking can easily pay for itself by maximizing your cubic capacity. Since you’re only paying the landlord on a per sqft basis, your ROI for your corporate real estate portfolio is easily visible.
Benchmark Rents to Market Conditions
Maximize your competition for tenancy by doing your homework. Research current market lease values well before your lease expires to ensure you’re getting the best deal for your tenancy. Waiting until the last minute could cost you and your company thousands, even millions, of dollars on an over-market lease.
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Or for more tips, here is Combat Commercial Real Estate Market Turmoil Pt. 3