Commercial Flex Space Is
a term you hear often in commercial real estate typically referring to a building designed or remodeled to allow for a wide variety of uses in a flexible commercially zoned area. There is usually office space, and sometimes the whole unit is office. There is usually an open area suitable for warehousing, wholesale sales, light manufacturing, or lab use.
Building design is single story 14 to 18 feet clear in height. Width is 60 to 100 feet with a length generally exceeding 100 feet. Space is available by bay spaces which are 20,25 or 30 feet in most cases. Allowance is made for overhead doors to move materials in and out easily.
Advantages of flex space are many. Flex buildings offer straightforward economical business space. You rent exactly what you need. There are no shared costs for hallways, bathrooms and the lobby. Your money goes for your space. Another benefit is you probably can sign a short term lease. This is ideal if your company is on the move and you anticipate changes in space requirements. In short, flex space accommodates a full range of companies -- from those operating their first offices outside their home or garage, to well-established businesses, and everything in between.If you are looking to occupy anywhere from 1,500 to 10,000 square feet of space, a flex building may provide the right fit.
Building design is single story 14 to 18 feet clear in height. Width is 60 to 100 feet with a length generally exceeding 100 feet. Space is available by bay spaces which are 20,25 or 30 feet in most cases. Allowance is made for overhead doors to move materials in and out easily.
Advantages of flex space are many. Flex buildings offer straightforward economical business space. You rent exactly what you need. There are no shared costs for hallways, bathrooms and the lobby. Your money goes for your space. Another benefit is you probably can sign a short term lease. This is ideal if your company is on the move and you anticipate changes in space requirements. In short, flex space accommodates a full range of companies -- from those operating their first offices outside their home or garage, to well-established businesses, and everything in between.If you are looking to occupy anywhere from 1,500 to 10,000 square feet of space, a flex building may provide the right fit.
Things to Consider When Leasing Commercial Space.
Two major cash flow components of small business operations are the start-up capital requirements for buying or renting commercial space and the ongoing expense of operating the space. There are numerous legal terms in lease agreements. It may be advisable to seek the advice of a lawyer and/or the services of a real estate broker to work for you.
The first concept to understand about a lease is whether it is considered a "net" lease or a "gross" lease. Confusion begins when people use terms such as "triple net", "modified gross", "gross plus utilities," "net, net," or even "net, net, net." The bottom line is a lease is either "net" or "gross". If a lease is net, you, the tenant (the lessee), will be responsible for at least one additional expense of the space over and above the base rent. A gross lease means that all applicable cost associated with the space are included in the total (base) rent. In today's real estate market, a true gross lease is rare, because most tenants pay at least one or more expenses associated with their business space.
Another term important to retail merchants and restaurants is "percentage rent" where all or part of the rent is calculated based on a predetermined formula using the sales revenue generated at that location. This concept is based on the rent for the space being directly linked to the strength of the location. Parties agree on the definition of sales revenue and apply a negotiated percentage. For example, the rent may be calculated at $7 per square foot, plus 1 percent of sales over $1 million.
These terms represent some other general items to consider when comparing locations:
Common area factor: commonly shared, public space within buildings (usually office buildings). Can include hallways, rest rooms, and lobbies. The factor is usually given as a percentage. For example, you may be using 1,500 square feet, but a common area factor of 15 percent, makes the rentable square feet 1,725 square feet. Other buildings may vary so be careful when comparing your rental rates.
Common area maintenance: cost of maintaining the exterior and/or the shared interior areas passed through from the landlord to tenant. These costs may include snowplowing, rubbish removal, parking lot lighting, cleaning of restrooms, property management, taxes and other costs. It is important to identify the amount of these costs and which may increase or decrease over time.
Escalations, graduations, indexes and adjustments: will define methods to be used to change the rent over time. They may be dollar changes (e.g., $100 per month), percentage changes (+5 percent), unknown future percentage changes (CPI, or consumer price index) or and other mutually accepted measures.
There are many other lease terms that can affect your costs as a tenant. It is important to evaluate the impact of each of the lease's terms,their potential value and/or their possible hidden costs.
The first concept to understand about a lease is whether it is considered a "net" lease or a "gross" lease. Confusion begins when people use terms such as "triple net", "modified gross", "gross plus utilities," "net, net," or even "net, net, net." The bottom line is a lease is either "net" or "gross". If a lease is net, you, the tenant (the lessee), will be responsible for at least one additional expense of the space over and above the base rent. A gross lease means that all applicable cost associated with the space are included in the total (base) rent. In today's real estate market, a true gross lease is rare, because most tenants pay at least one or more expenses associated with their business space.
Another term important to retail merchants and restaurants is "percentage rent" where all or part of the rent is calculated based on a predetermined formula using the sales revenue generated at that location. This concept is based on the rent for the space being directly linked to the strength of the location. Parties agree on the definition of sales revenue and apply a negotiated percentage. For example, the rent may be calculated at $7 per square foot, plus 1 percent of sales over $1 million.
These terms represent some other general items to consider when comparing locations:
Common area factor: commonly shared, public space within buildings (usually office buildings). Can include hallways, rest rooms, and lobbies. The factor is usually given as a percentage. For example, you may be using 1,500 square feet, but a common area factor of 15 percent, makes the rentable square feet 1,725 square feet. Other buildings may vary so be careful when comparing your rental rates.
Common area maintenance: cost of maintaining the exterior and/or the shared interior areas passed through from the landlord to tenant. These costs may include snowplowing, rubbish removal, parking lot lighting, cleaning of restrooms, property management, taxes and other costs. It is important to identify the amount of these costs and which may increase or decrease over time.
Escalations, graduations, indexes and adjustments: will define methods to be used to change the rent over time. They may be dollar changes (e.g., $100 per month), percentage changes (+5 percent), unknown future percentage changes (CPI, or consumer price index) or and other mutually accepted measures.
There are many other lease terms that can affect your costs as a tenant. It is important to evaluate the impact of each of the lease's terms,their potential value and/or their possible hidden costs.
Taranis Properties on Posterity Court
Building 4475 - Unit 4479/4481 3,000 SF
4465 Suite 100 - 1,750 SF
4465-110/120 - 3,500 SF
4471 - 3,000 SF
Taranis & Sucellus Lease Terms Compared To Market
Typical Commercial Leases quote a lease rate and then add on a prorated portion of building property taxes and common area maintenance and repair. All too often a utility charge for water,sewer, trash and storm water is added as well.
NOT IN OUR BUILDINGS - our lease rate includes all those items so you have one easy to see and understand leasing cost. SO SEE OUR PROPERTIES BELOW
Value Proposition
We have done the site selection, financing, permitting and construction so that you may save with our simple cost efective leasing plan for flex-space. Our leases for Flex Space Units are not Triple Net (NNN), triple net means that in addition to rent the tenant pays other costs of the property. In a multi-tenant building these costs are usually prorated to each tenant on the basis of square footage of unit divided by square footage of building. These costs include property tax, insurance on the building, maintenance, common area maintenance, trash, storm water fees and even water/sewer. These cost savings are demonstrated below.
Typical 1,750 square foot unit in an 8 unit building.
Common Area And Exterior Maintenance $31.00 per month
City of Gastonia Utilies (water/Sewer/Storm Water $24.39 per month
Dumpster $10.61 per month
Real Estate Property Taxes $97.22 per month
Total Costs Included In Our Lease $163.22 per month*
* Based on proration of annual costs divided by 12 months divided by total square fottage of the building multiplied by the square footage of the unit.
And Email Me Now For More Details
NOT IN OUR BUILDINGS - our lease rate includes all those items so you have one easy to see and understand leasing cost. SO SEE OUR PROPERTIES BELOW
Value Proposition
We have done the site selection, financing, permitting and construction so that you may save with our simple cost efective leasing plan for flex-space. Our leases for Flex Space Units are not Triple Net (NNN), triple net means that in addition to rent the tenant pays other costs of the property. In a multi-tenant building these costs are usually prorated to each tenant on the basis of square footage of unit divided by square footage of building. These costs include property tax, insurance on the building, maintenance, common area maintenance, trash, storm water fees and even water/sewer. These cost savings are demonstrated below.
Typical 1,750 square foot unit in an 8 unit building.
Common Area And Exterior Maintenance $31.00 per month
City of Gastonia Utilies (water/Sewer/Storm Water $24.39 per month
Dumpster $10.61 per month
Real Estate Property Taxes $97.22 per month
Total Costs Included In Our Lease $163.22 per month*
* Based on proration of annual costs divided by 12 months divided by total square fottage of the building multiplied by the square footage of the unit.
And Email Me Now For More Details
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Google Information
- Mineola School Board Updates Status of Construction Projects
- The movement in rooms opens a new flex space in the north wing, so music instruction ? currently located in the south wing ? would move to the northern end. Dr. Nagler stated that in order for the moves to occur, a new wall and door is needed in the ...
- Megger Renews 58000 SF of Flex Space
- By Max Ward Megger, an electric test equipment company, renewed 57638 square feet in the flex building at 2621 Van Buren Ave. in Norristown, PA. The 251751-square-foot building was constructed in 1969 and features five loading docks, 36-foot clear ...
- The Fine Print: Liberty Property, Toll Brothers, more
- Megger Group, a company that makes electric test equipment and measuring instruments for electrical power applications, renewed its lease on flex space it occupies in Lower Providence. The company signed on for 57638 square feet at 2621 Van Buren Ave.
by JerryFleeman
JerryFleeman
Samuel J Fleeman, Jr. (Jerry)
an unlimited licensed Contractor, Real Estate Broker and Managing Member or Partner of multiple Development Compani...
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