CXRE » office building

Is Commercial Real Estate Moving to the Suburbs?

For decades, large American cities have enjoyed unparalleled population growth and economic stability. Commercial real estate properties located downtown were profitable, while those in the surrounding suburbs were less profitable. However, we began seeing commercial real estate shift its focus to the suburbs in the last few years. The pandemic has only expedited that process. As the world continues to adjust to a new normal, is commercial real estate moving to the suburbs? The History of Thriving Downtown Business America began as a predominantly rural nation. However, as industry became more commonplace at the end of the 19th century, more and more Americans moved towards thriving downtown areas. New technology allowed skyscrapers to don the landscape of major cities like New York, San Francisco, and Chicago. In the 20th century, these downtown areas only continued to grow. However, in the 1950s, as automobiles became more commonplace in the American family, people began moving away from […]

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Understanding the Costs of Commercial Building Construction and Build-Outs

The ideal commercial office space will both attract and retain tenants. But in today’s hyper-competitive business environment, investors and owners must consider where employees work. The layout, functionality, and aesthetics of an office all determine whether or not a tenant chooses your location and stays long-term.  In this article, we’re exploring commercial office construction and build-outs: what they are, why they’re important, and how to finance each project. Commercial office tenants want workspaces that increase employee productivity and morale. Furthermore, tenants want these offices to reflect their brand and company culture. And they want offices that help attract and retain high-performing employees.  Amid COVID-19 shutdowns, office building owners and Property Managers must give current and potential tenants every incentive to sign a lease. Landlords must therefore offer more amenities and more flexible spaces for commercial tenants than ever before. Today’s Commercial Building Construction Trends Commercial building construction saw a fourth straight year of more than […]

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The Tenant’s Ultimate Guide to Renting Office Space

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The Tenant’s Ultimate Guide to Renting Office Space Deciding to rent an office space can be an exciting and momentous step towards growing your business. But locating and leasing your ideal office space can be overwhelming, especially if embarking on the project alone. When choosing an office space to rent, you must consider several factors to ensure you’re setting your company up for success.  Before you sign an office space lease for your business, you’ll need to select an ideal location, make sure the building is appropriate for your business, and negotiate a fair lease. We have designed this comprehensive guide to help small business owners like you avoid mistakes and choose an office space that fits your business and your clients’ needs. Step #1: Establish Your Commercial Office Space Lease Parameters Business Requirements First and foremost, you must determine your business’s needs. Identifying your ideal property will help you rent an office space that […]

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How to Sublease Your Unused Office Space in Texas

The COVID-19 pandemic disrupted typical American life in almost every way. Businesses have felt the severe blow of this impact, from drastic sales losses to massive layoffs. Yet business owners still face office space rental leases. Many are wondering how they can pay on these leases without going broke. Here, we look at ways to sublease your unused office space to help you mitigate the financial impacts of the Coronavirus shutdown. If your office space rental agreement allows you to sublease, you can rent out unused portions of your office to other businesses looking to downsize. Subleasing is an excellent option to help alleviate your business’s financial strain. As earning plummet in the face of the pandemic, many companies are looking to subleasing to pay the bills. The Work-From-Home Shift As COVID-19 took hold across America in early 2020, many businesses shut down. Some laid off large swaths of their workforce. Even as many return […]

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The Rise and Fall of the Houston Office Market

A weakened energy market combined with slow job growth hasn’t done the Houston office market any favors. Over the past few years, Houston has struggled, but now the area is seeing signs of stabilization due to a decrease in available sublease space and a decline in energy sector layoffs. A Year of Fluctuations – Q1 2016 to Q1 2017 At the end of Q1 2016, the Houston office market had a 15.3 percent vacancy rate. The average vacancy rate rose by 100 basis points during Q1 2017 for an 18.5 percent vacancy rate. So from Q1 2016 to the end of Q1 2017, the vacancy rate rose by 320 basis points. Although vacancies rose across the board, this rate is not the same throughout the metro area. In suburban Houston, the Q1 2017 Class A vacancy rate was 20.5 percent, up from 16 percent in Q1 2016. Houston’s CBD (central business district) had a Class […]

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