When on your search for the perfect space it is easy to get lost in the plethora of terms and shiny objects thrown your way. At Coughlin, we like to focus on Key Performance Indicators to quantify each property and ultimately qualify if there is a good potential fit. Here are our top KPI’s that matter when we are looking at a space.
Leases are comprised of tricky lingo and tons of line items. We can go in depth about what those line items mean, but at the end of the day what really matters is your out the door full occupancy cost. This will aggregate all fees, rents, etc to determine what your overall out of pocket cash flow will look like to occupy the space.
Once you have determined your occupancy cost you want to take a look at your Load Factor, which is the ratio you are charged for common areas throughout the building. Usable vs. Rentable space is a big difference, be sure to know what percentage of your usable space you are paying double for to facilitate CAM’s.
While public transit and the automobile industry as a whole are evolving a majority of employees still drive into work. One of the factors to be aware of is the amount of parking spaces in reference to the amount of employees working in the building.
One of the most requested features we see when helping tenants find their new space is “Natural Light”. Beyond productivity and health benefits for employees, natural light also lowers energy costs. The best way to determine how illuminated your space will be is to measure how many linear feet of exterior windows exist. This in comparison with the overall square footage will give you a good feel for the light that will be coming in and also give you a base to compare different properties.
At Coughlin, we know exactly what to look for because we do this each and every day. If you would like a Tenant-Only advisor to help you navigate the complex world of commercial real estate please leave us a comment below.