Austin, Texas -
As office space rental rates in Austin Tx continue to rise in traditional office buildings, more and more companies are looking for alternative options such as industrial flex space (IFS).
According to Nathan K Smith, commercial real estate broker with Austin Tenant Advisors, in the suburbs class C office buildings are the least expensive with gross rates ranging from $25 to $27 sf (this includes the base rate and NNN). Expect to pay $35 to $40 sf gross for Class B and up to $55 for class A.
By comparison industrial flex space rental rates in Austin Tx are almost half the cost ranging from $19 to $24 sf (base + NNN), plus the tenant pays their own electric bill.
“If companies would evaluate industrial flex space for rent as an option they would see that it can be just as nice on the inside as a traditional office, however their monthly bill would almost be cut in half. I always present these options to tenants for comparison and to educate them on lower cost alternatives. If tenants are not concerned about impressing customers with a modern office building, industrial flex spaces can be a much less expensive alternative that can save companies thousands of dollars per month in rental costs”, says Smith.
Industrial flex space has many uses. It can be office space, warehouse space, light industrial space, or all three at once. The exact definition of industrial flex space varies from market to market and customer needs.
“We define industrial flex space as single-story light industrial buildings with windows on the front that can be used for 100% office or can be built out with a certain percentage of office space and warehouse. Ceiling heights are typically higher and parking ratios are 3 to 4 per 1,000 sf. They are typically found in semi industrial business parks near major highways or sometimes in suburban areas,” he says.
He continues, “These properties are designed to handle greater power than a traditional office building which increases the number of possible uses for the space. The front of the properties are typically nicely landscaped. The majority of them have grade level overhead doors in the back and some may even have dock high loading docks.”
More information about industrial flex space: https://www.austintenantadvisors.com/blog/industrial-flex-space/
In the past IFS was primarily used by companies with more of an industrial related use. For example contractors of all types, medical laboratories, etc. However, to overcome the challenges of rising rents many businesses are looking at IFS in lieu of traditional office buildings. It also allows them to have an all-in-one environment where they can have a nice professional office space for the executives, admin, and sales, and an area for warehousing, distribution, assembly, and other operations.
Founded in 2006, commercial real estate agency, Austin Tenant Advisors has helped 100’s of business owners and companies find commercial space for rent and negotiate the best possible price. They help in the search, selection, and negotiation of office space for rent, retail space for rent, and industrial space for rent, including flex space. Tenants are able to save a ton of time by allowing Austin Tenant Advisors to handle the search for commercial listings, scheduling property tours, and communicating with all of the landlord agents. They only represent the best interests of tenants, never the landlords, so their goal is to ensure that companies find the best locations that meet their current and future business needs while providing insider market information that landlords and their agents typically don’t provide. Their fiduciary duty is to ensure tenants find the best spaces, avoid mistakes, and get the most favorable terms possible. Whether a tenant is leasing space for the first time, or is renewing or expanding their operations Austin Tenant Advisors has it covered.
Those who need the services of an Austin commercial real estate agency can visit Austin Tenant Advisors website, or contact them via email or telephone.
SOURCE: Press Advantage [Link]
Austin commercial real estate agency that exclusively help tenants find and negotiate warehouse, retail and office space for rent in Austin Texas. Our free service will ensure you find the best space, avoid mistakes, and get the best deal possible.
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