© 2024 Real Estate Consultants of Colorado, LLC
Austin, TX
Need a new office and looking for a deal? Office subleases in markets like downtown Denver and the Denver Tech Center are plentiful, attractively priced, often come furnished and are available in a variety of lengths, often between 1 and 10 years. With pricing in extreme instances 50% under what a tenant would pay directly to the landlord for the same space, REC now represents tenants willing to move every year to take advantage of the best deals, which are often subleases with the shortest time remaining on the term. With uncertainty on the horizon, others are attracted to subleases because they offer an alternative to signing a long-term lease.
Subleases, however, are a more complicated process to navigate because they require the approval of the sublandlord and the master landlord; in effect, the subtenant is reviewing (and possibly negotiating) two leases. And while sublandlords often choose to market their spaces with attractive terms, they may not be as motivated as you would think: after all, they are not the professional landlords in the real estate business from whom you would normally lease and they have their own companies to run and might have many layers of bureaucracy to navigate, oftentimes out-of-state, in seeking approval of the deal. Subleases also require more flexibility from the prospective tenant in that they are often offered "as-is" compared with leases directly with the landlord that are often delivered with a buildout custom-tailored to the tenant's exacting needs.
Need a new office and looking for a deal? Office subleases in markets like downtown Denver and the Denver Tech Center are plentiful, attractively priced, often come furnished and are available in a variety of lengths, often between 1 and 10 years. With pricing in extreme instances 50% under what a tenant would pay directly to the landlord for the same space, REC now represents tenants willing to move every year to take advantage of the best deals, which are often subleases with the shortest time remaining on the term. With uncertainty on the horizon, others are attracted to subleases because they offer an alternative to signing a long-term lease.
Subleases, however, are a more complicated process to navigate because they require the approval of the sublandlord and the master landlord; in effect, the subtenant is reviewing (and possibly negotiating) two leases. And while sublandlords often choose to market their spaces with attractive terms, they may not be as motivated as you would think: after all, they are not the professional landlords in the real estate business from whom you would normally lease and they have their own companies to run and might have many layers of bureaucracy to navigate, oftentimes out-of-state, in seeking approval of the deal. Subleases also require more flexibility from the prospective tenant in that they are often offered "as-is" compared with leases directly with the landlord that are often delivered with a buildout custom-tailored to the tenant's exacting needs.
© 2019 Real Estate Consultants of Colorado, LLC