An Untapped DC Office Gold Mine
According to a CoStar survey of office properties in Washington, DC, there are about 1,500 office spaces of 8k SF or less sitting vacant throughout DC. These spaces—perfect for up-and-coming companies that are outgrowing their co-working spaces and executive suites—remain on the market for an average of more than 16 months. So why are these office spaces being ignored? According to Carr Workplaces director of WorkReady Development Michael Kloppenburg (pictured), these spaces present many challenges for not only small space tenants, but brokers and building owners as well.
Smaller tenants are looking for a space they can be proud of and that reflects their company’s brand. But finding a conventional office space that fits their needs can be challenging when they have no idea what they’re looking for and—even if they do—they are new to the conventional leasing process. Once these small businesses sign a lease, trying to put together an office—instead of having everything set up for them as it was at a co-working space or executive suite—takes time and effort that should be focused on their company.
For brokers, these spaces require just as much (if not more) work as any large office space, but for less commission. In shell office space, getting IT and phones set up requires time-intensive coordination (read: hand-holding) between the tenant and the building’s owner. So even if a broker finds a small space tenant, a building’s owner may be reluctant to invest time and TI dollars.
These challenges could lead to a huge opportunity if approached with the right solutions. Michael says that while one office sale of this size won’t make a huge dent, if all of these small office spaces and tenants were given more attention, they could significantly reduce market vacancy.
Enter WorkReady. Michael says businesses outgrowing Carr Workplaces or those simply in the market for small spaces can browse WorkReady online listings at carrworkplaces.com to find one that fits their space and tech needs. Brokers and building owners can list smaller vacant spaces, as well, increasing visibility to spaces not quickly rented. Once a lease is signed, the WorkReady project management team will coordinate among brokers, owners and clients to seamlessly design and build out the office, including technology, making everyone happy and setting the tenant up for future growth. Building owners can even offer WorkReady services to tenants of all sizes—from ongoing business support like phone answering to personal errands like shopping and dog walking—differentiating their properties from others on the block.
To learn more about Carr Workplaces and Workready Suites, click here.