Real estate is usually the second or third largest expense item for companies.  Logically, then, many businesses choose a floor plan that minimizes costs by limiting build out costs and rentable square feet.  On occasion, however, a business will focus exclusively on build out costs and rentable square feet at the expense of other important variables.  There are other elements in a floor plan which can directly or indirectly impact the bottom line, and these factors also merit consideration.

Here’s an anecdote to illustrate m point.  I have a client who once accepted an inferior floor at a discounted price, and lived to regret the choice.  The client occupied approximately 10,000 square feet in two, noncontiguous suites.  Although the suites were separated by only a few feet, a separate company culture emerged in each suite.  The short distance between the two suites led to HR and operational headaches that outweighed the cost savings dues to the floor plan.

When making real estate decisions, one must consider INDIRECT costs in addition to direct costs.  I will return to this theme again and again (see Rent is NOT the Only Factor to Consider in Your Site Selection).  Real estate decisions should be integrated into the greater business vision.  Make sure you retain a tenant representation commercial real estate broker who understands how your business works.  In addition to being a real estate expert, your broker should anticipate how real estate impacts the other facets of your business.  I recommend retaining a broker who has an MBA or who has worked in your industry.

For more information about planning an office relocation, contact me at or (630) 805-2463.

Golden Group Real Estate represents tenants looking for office space in the Chicago area.  Golden Group Real Estate helps your business find office space and negotiate the lease or purchase agreement.  For more on Golden Group Real Estate, read about our real estate services. Let us know if we can help you find office space for rent or buildings for sale.  Call us at (630) 805-2463, email us at, or enter your office space search criteria below.


June 19, 2019

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