Market Overview
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Market Overview
The Pendulum Has Swung in the Tenant’s Favor!
Much has changed in the Denver Metro area commercial office space market in recent years. While pre-pandemic high occupancy rates worked in the owner’s favor, today’s increasing vacancy rates and downturn in demand have shifted the market in the tenant’s favor.
It’s a good time to be a commercial tenant or commercial buyer in Metro Denver. Now is the time to secure attractive terms and competitive lease rates. Together, we’ll identify the location that works best for you, along with right-sized space with layouts that meet your specific needs.
The best strategy for any commercial tenant or buyer is to take advantage of opportunities, thoroughly research the market, and document alternative relocation options. In other words, the more you want to stay in your space, the more relocation options you need.
If you want to renew or relocate within the next year or two, you need leverage. Start by asking us to review your lease. We’ll help you understand what the owner will likely propose, as well as develop a strategy to achieve the best possible outcome in your lease negotiation.
FAQ
Frequently Asked Questions
A: You can, but do you really want to? Tenants often don’t have enough information to make good decisions. In fact, few tenants realize how much leverage they have in today’s market. To achieve the best rates and terms, you must draw upon deep market knowledge to develop maximum leverage when negotiating a new lease, lease renewal, or property purchase. There’s also no obligation for an initial consultation, and there’s no cost to you if you choose to work with us. There’s no reason to go it alone when you can draw upon our expertise.
A: The owner's agent works for the building owner and represents the owner's interests. Their loyalty is to their company, not to you. If the owner tries to sidestep issues or not share some information, we’ll be right there to handle the situation. We’ll take care of all the details to make sure any issues with HVAC, lighting, insulation, etc., are addressed.
A: Subleasing or waiting for your lease to expire aren’t your only options. For example, have you considered renegotiating with the building owner instead? They may listen to reasonable alternatives, but you have to be proactive. Call us, and we’ll show you how to solve your leasing problems.
A: Yes! These days, owners and their agents are making decisions on a case-by-case basis. For example, a client had two years left on a 20,000 square foot lease. We recently negotiated a deal that enabled them to relocate to a gorgeous 10,000 square foot space and save money, all while covering the remaining eight months of their original lease through a rental abatement (period of free rent) covered by the new building owner.
A: Absolutely! For example, a client with three years remaining on their lease recently wanted to move to a smaller space. A second client wanted to increase their space. We negotiated a tradeoff where the second client expanded into the first client’s space in exchange for extending their lease for two more years. The first client, in turn, was able to get out of their three-year lease obligation and move into a space that better fit their needs and budget. Neither client had to sublet, and both clients’ lease rates were adjusted to market rents. Everybody left happy, including the owner. This kind of creative solution wouldn’t have occurred to either party without the help of Corporate Real Estate Advisors.
Contact
Reach Out
If you want to renegotiate your current lease, relocate, or buy commercial real estate, you need professional strategic planning, inside knowledge about the market, and a skilled negotiator by your side in order to secure the best terms possible.
Ask CREA to serve as your tenant/buyer representative. Because we’re paid out of the owner’s marketing budget, there is no cost to you. Reach out today and make CREA your competitive advantage.