The office market in the Midlands remains more competitive than ever, with an oversupply of available units giving prospective tenants the upper hand. So what should landlords be doing to make their property stand out? Our Director, Jason Hercock discusses eco-credentials, aesthetics, lease negotiations and rent reviews…
“It’s no secret that the best quality offices will attract tenants. Places that are in easily accessible locations with bright interiors, excellent connectivity and that offer sustainable, modern facilities. But with many premises ticking all these boxes, tenants have the luxury of choice, meaning decisions are being made based on how a property looks and increasingly, how it might fit with an organisation’s brand. So, for instance a rustic barn conversion with plenty of well-maintained outside space might appeal to creative industries who need changes of scene for inspiration, whereas something purpose built and highly energy efficient could be ideal for a tech-based business or a company prioritising its eco-credentials.
“The green agenda has fast become a high priority for tenants and unsurprisingly so, giving energy costs. But it’s about more than cost saving. Tenants want to see offices that encourage employee wellbeing too.
“For instance, many offices still have fluorescent lighting tubes. By switching these for LEDs, you immediately create a more attractive working environment as well as improving overall building performance and its EPC rating. Similarly, by installing electric vehicle charging points, you offer a solution for those who are both cost and environmentally conscious. Low cost, seemingly small improvements like these could immediately increase the marketability of your property and become the deciding factor in a tenant submitting an offer.
“If you’re struggling to reach the point of offer, or have had little or no potential interest, then please get in touch with our commercial team. By benchmarking interest, or indeed, offers against outdated information or a previous lease arrangement, you’re likely to be at risk of losing interested parties, and your property sitting empty.
“If you can structure a lease profile in the right way, including being strategic about your timing for rent review provisions and mechanisms, then its far more likely your investment will pay off and tenants remain in situ.
“With so much competition in the market, particularly in town and city centres, your agent should be advising on the best techniques to remain distinctive. If we can help improve your property’s visibility, please contact us.”
