Technology is developing at a lightning fast pace, and it's easy to see how new technologies can benefit many aspects of your business from data management to financial reporting. What may surprise you is that technology also has an impact on commercial real estate for corporate tenants. In commercial real estate, technology is important because it can:
Help You Better Control Your Utility Costs
While your rent is a fixed cost that you cannot control, you can save money when it comes to utilities, and technology is making it easier for companies to do just that. Switching out old incandescent or halogen lighting fixtures with state-of-the-art LED lights can dramatically reduce energy consumption. Plus, LED lights give off less heat, so they can diminish the cost of running air conditioners in the summer time. Speaking of heating and cooling, new technologies make it easier for companies to control the thermostat settings. With a smartphone or tablet, it's now possible to remotely control HVAC systems from locations anywhere in the world.
Reduce Your Square Footage Needs
The right technology can potentially reduce your need for square footage to save you money when it comes to rent. Today's computer systems and servers are a fraction of the size of ones produced just a few years ago and make it possible to place more workstations in an area. With advancements in telecommunications and cloud storage, it's easier than ever to allow employees to work from home one or more days per week. This type of arrangement can allow for office and work space sharing to decrease your total square footage needs.
Expedite Your Lease Agreements
Advancements in communications and digital documentation make negotiating and signing leases easier than ever before. What used to take days to prepare now can be done in hours, and it's possible to review and even sign documents right from a mobile device. Expediting the leasing process allows your team to be more productive and focus on other job duties while you're completing the process.
Give You an Edge with Landlord Negotiations
With new technologies, commercial real estate information that was once only available to landlords and brokers is now at the fingertips of commercial tenants. Subscriptions for commercial real estate tools like Compstak, 42floors, LoopNet and CoStar can give you access to information regarding rental rates and market conditions that can give you an edge when you're negotiating with a landlord. Commercial real estate tools can help you ensure that you get fair terms and aren't being overcharged for your space.
Better Manage Your Portfolio
If your company leases office space in multiple locations, new software programs and web applications can make managing it easier. With programs, you can analyze your commercial real estate usage and discover ways to optimize it, which can save you money in the future.
While the latest technologies do come at a cost, the benefits that they can provide for commercial tenants typically justify the monetary investment by saving you money over the long term or improving your overall levels of efficiency to positively impact your bottom line.
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