It is so crucial right now to talk about security deposits, with post-pandemic repercussions, and landlords who are still sensitive about this topic after many tenants have left their offices last year. It is top of mind for everyone right now. Landlords are wondering if they have enough in security, and tenants are wondering how […]
F is for…
I am shocked at how often I’m hearing this word. It is part of most conversations with tenants these days. I understand where it is coming from, but its frequency is what is shocking to me. The word? Flexibility. It’s being driven by an inability to forecast how people will work coming out the other […]
Office Leasing: The Key Dates You Need To Know
When I started listening to Earth, Wind & Fire’s ‘September,’ I never thought that I would one day be writing about its relationship to real estate and office leasing, but here I am. Specifically, the first line, “Do you remember…” Office tenants spend a ton of time and money negotiating their leases for office space. […]
Percent Increases vs. Direct Operating
I talk a lot about knowing your numbers when it comes to your real estate. A main component of this is the operating expense. You have the base rent amount, and then there is “additional rent.” As a tenant in an office building, you are responsible for contributing to the ongoing operating expenses of the […]
There are so many different costs associated with an office lease outside of the base rent. Many of these can add up to real dollars! It is important to know what is going into your office lease. This is for two reasons: 1) so that you can make an apples-to-apples comparison when considering the space that works for you 2) to understand what your costs are upfront so there are no surprises once you have signed a lease.
Today I want to address electricity because if negotiated incorrectly, it could be a profit center for the landlord. There are going to be situations where some of these are not available, but it’s better to be an educated consumer and ask, rather than assume what is proposed to you is the only option.
There are three options for electricity. These include ERIF, Submetering, and Direct Metering — only one of these is not a moneymaker for your landlord. So, let’s get into it.