After reading the post on the principles in choosing office space, I started thinking about how relevant each of these principles were to me with regards to choosing Houston commercial property for lease. I would rank these principles in the following order -
Being a successful entrepreneur is a desire of many hard working individuals. Though being an entrepreneur is a great way to take control of your work and life, it poses a few challenges when it comes to balancing the difference between work and home life, especially for those working out of their homes. It got me thinking, what office space options for entrepreneurs are out there for those who do not have a lot of cash, but also don't want to be holed up in their house all day everyday?
I was just in New York City for a friend's wedding and used the opportunity to meet with and talk to other early stage companies about their experience with finding office space. New York commercial real estate is clearly a whole different beast, but the general concerns are the same. They were looking for open, collaborative spaces at a decent price, however, they did not want to lock themselves into a space too big or small as things can change very radically and quickly. These companies were funded, had multiple employees, and had a dedicated server / computer equipment (I guess sometimes, a laptop isn’t enough). Thus [co-working in NYC] (http://www.thesquarefoot.com/New-York-City/Coworking-in-New-York] was not an ideal option. They wanted some form of dedicated space.
It seems like every other day I see an ad for an executive suite or virtual office in Houston. I thought I would do a little research as to the differences between them and I learned how they are ultimately becoming the same thing. In the past five years, the virtual office has become one of the favorite words of executive suite landlords in Houston.
Many solo practitioners and entrepreneurs in Houston begin to think about their space options once business starts to take off and they realize that working from home might not be the best option. I decided to do some research on the best way to find Woodlands executive suites on the web and the findings surprised me.
I grabbed coffee earlier with Joe Stampone of A Student of the Real Estate Game. He knows his stuff and the blog that he has been writing for more than two years is a first rate resource to learn more about Real Estate as an industry. While it won’t help you find that perfect space TheSquareFoot, it is one of the best destinations for actual industry knowledge around. Also, for those of you looking to get into real estate as a profession, he has plenty of invaluable advice.
The concept of sharing office space, either through Houston Coworking or co-spacing is gaining traction almost daily. Fast Company just published an article touting the benefits of working in these environments. Examples abound in both San Francisco and New York Coworking and this decade old idea is quickly maturing into more advanced concepts. It is amazing this idea is already evolving before the first iteration has made it to Houston!
In the midst of exploring all of the different varieties of office work space becoming more readily available in the U.S., I thought this article on individual work areas significantly shrinking over the past 10-15 years was interesting.
An entrepreneur and real estate professional compare notes on Loopnet's asking price trends for commercial real estate in Houston, Texas:
As usual (we don't have fun lives...), I was looking through all the Houston commercial space options. This time, I was trying to find the best way to find a tenant broker in Houston. In turns out this is as difficult as finding commercial space.
After discussing our vision with someone who has had a painful experience looking for commercial space in Houston, the apt analogy was -
Last week, we posted about options for avoiding long-term leases including subleasing a Houston office rental, which is a very relevant topic both locally and nationwide. Subleasing was mentioned as a viable option for lease term flexibility and I wanted to expand on that topic a bit more.
This article in yesterday's Wall Street Journal discusses the recent development (forgive the pun) of Germans "moving back into city centers, abandoning outside villages." In the opening sentence, this is attributed to aging populations and to people putting added value on sustainability and green living. This is a trend that is sprouting up in the states as well except here we call our "villages", "suburbs" and our "lifts", "elevators."
A few months back, I wrote about the current executive office search options in Houston. I thought it was time to give one of them a try.
I've now seen two separate articles in the last several days about how available large blocks of Texas office space are decreasing. Our friend Coy Davidson was commenting on the Houston market over the weekend (does he ever sleep?!?) noting how the increased leasing velocity in the city has led to fewer options for tenants needing large spaces. This lovely graph shows the decreasing availability quarter-over-quarter for the last 3 quarters. In all three buckets, the number of available spaces has decreased by about 20%. This is great news for the landlords but it leaves fewer options for tenants looking for Texas office space
As a CPA, tech, and CRE geek (I am the life of the party...), I found the recent article on Globe Street pertaining to the new commercial real estate leases accounting rules particularly interesting. The article points out the uncertainty surrounding when the new lease accounting rules will come into place. Having experience in the accounting world, uncertainty and drafts constantly changing is nothing new. What is interesting is the type of personalities at play between folks in the commercial real estate in Houston world versus the accounting world. From dealing with both sides, I will let you guess who would be more fun to converse with in a social setting...
In this blog post on Globe St, Tony LoPinto (their recruiting expert) discusses recent decisions by Google and Twitter to locate their employees in city locations. He notes that this a new trend, different from days past where technology companies choose offices in suburban locations. Google's purchase of 111 Eight Ave at the end of last year was the largest purchase of commercial real estate by a tenant in US history. Sorry Chevron.
In our attempt to show the world all of the different office leasing options in Houston, we came across another great concept that's perfect for entrepreneurs, start-ups, or anyone looking for their own desk or Houston coworking spaceaway from home.
TheSquareFoot got a chance to chat with Misti Morales - Marketing Director at The Dinerstein Companies, a fully integrated real estate development company with a focus on apartment homes and student housing across the U.S. She shed some light on how social media is changing the commercial real estate world right before our eyes.
TheSquareFoot got the chance to chat with Nick Ducoff, CEO & Co-Founder of Infochimps and an old friend, about how office space factored into the growth of his company from an Austin startup based in an apartment to commercial space on West 6th Street. Infochimps is a data platform for apps and analytics.
We love connecting with old friends who have been involved in the startup world and chatting about their experiences with office space, and how it factored into the growth of their companies. TheSquareFoot caught up with Shion Deysarkar, CEO at Datafiniti. Datafiniti is a search engine for data.
It's always interesting to compare commercial real estate leasing trends from market to market. Different cities and regions produce unique leasing landscapes and a tenant leasing office space in Houston Texas may value certain amenities differently than a tenant leasing space somewhere on the East Coast. According to a recent article in Globe Street, CBRE sent an anonymous survey to decision makers of more than 100 large tenants across the state of New Jersey ranking the most important "must-have" amenities in an office building.
After reading this article on leasing trends in commercial real estate, we began to think about what the metrics meant for tenants. Loopnet put together a very good info-graphic (below) on lease versus buy trends and I thought a few statistics were interesting from a prospective tenants viewpoint as they lease new or renew space for their business -
Noble Energy just signed a 497,000 square foot lease in the former Hewlett Packard building in northwest Houston. That is almost 11.5 acres and they will occupy all 10 floors with plans to expand in the future.
Once known as one of the nation's most prominent music gatherings, the annual South by Southwest festival has now become one of the world's premier digital media events. Accordingly, its effect on the Austin commercial real estate sector has been significant, according to reports.
Demand for rental space for lease in Austin continues to climb, according to a report, as the city now represents the state's strongest market for commercial retail space.
Real estate observers in New York City were encouraged by recent reports that financial services corporation Morgan Stanley would expand its commercial real estate lease at One New York Plaza in Manhattan. While that company's expansion may have been a sign of an improvement environment for New York office space leasing activity, experts say the local market has still been stifled by the challenges faced by several Wall Street businesses.
Office leasing activity among businesses around the United States continued to improve during the first quarter of 2012, although larger gains were reported in certain key markets, such as Houston.
The burgeoning oil and gas market in the Houston area continues to push ongoing commercial real estate development and encourage new investments in local infrastructure. Now, one real estate team has announced plans to construct a 20-story tower west of Houston to house additional office space to serve this sector and others.