When a business owner is looking for an office space that will adequately meet the needs of the business, including its unique square footage requirements, they have four basic options. They can 1) lease or sublet an existing space that is vacant, 2) purchase an already-built property and renovate it as needed, 3) buy, build, and design a property from the ground up, or 4) opt for a build-to-suit lease.
Continue reading to learn more about this popular alternative the first three options, and where you can get started with a free quote.
Commercial Build-to-Suit Leases
Buying and constructing a commercial property requires a significant, upfront investment that not every business owner can obtain. A commercial build-to-suit lease is a smart alternative for commercial tenants or business owners who wish to design and build their own facility without having to sacrifice this large expenditure, upfront.
In a build-to-suit lease, a commercial tenant chooses their preferred property, and then hires an Indianapolis design build (DB) real estate developer to plan, construct, and design their custom space. The commercial tenant will then lease the space from the developer. So, under a commercial build-to-suit lease, the tenant never actually owns the facility.
Build-to-Suit Lease Benefits
A commercial build-to-suit lease is the perfect solution for customizing a property to meets the unique space requirements of a business, without having to give up large sums of capital upfront. These lease agreements are especially beneficial for businesses that have outgrown their current space, and need a new space to accommodate their overall business objectives. Furthermore, these leases give tenants more options when it comes to looking for a space on the market, which makes finding the right size much easier.
Best of all, designing and building a commercial property from the ground up gives tenants the option to incorporate the most innovative technologies and cost-effective energy efficient solutions for commercial real estate. Not only can this improve success of the business, it can also help lower costs and save money. See our blog, “Top Commercial Real Estate Technology Trends Today” to learn some popular, modern day options for businesses and buildings.
Lease Terms and Conditions
A build-to-suit commercial lease is not a short-term agreement. Because such leases involve complicated tenant-developer financing, transactions, and similar logistics, they are usually a lengthy process that requires a lengthy commitment on both sides. Additionally, it is important to understand that build-to-suit leases are often more expensive than simply leasing an existing office space. But in the long run, the cost difference is counterbalanced by the cost-saving advantages a custom built office space will render.
Central Indiana Design Build Commercial Construction
Call 317-253-0531 to learn more about the trusted and esteemed Indianapolis commercial design build services at BAF Corporation. You can learn more about our services, or schedule a consultation to discuss your commercial construction and general contracting needs. We work with all corporate, commercial, and industrial industries in Indianapolis, Indiana and its surrounding areas.
