Looking for commercial office space? You’ll find three classes of office real estate.
Did you know that there are different classes of office buildings? Most people don’t realize this, even if they spend many hours of their day scouring local rentals for the perfect new office location or commercial property. It’s true, though, that there is a system for categorizing office buildings based on numerous factors, including age and amenities, among others. The class of a building plays a huge role in determining the rental rate for commercial office space (or any rental space) in that building. Before you reach out to your commercial real estate broker, familiarize yourself with the differences between the available office buildings in your area.
Class C
Class C is the lowest quality building available. A class C building will typically be located in areas of the city that are less desirable for business (higher crime, lack of parking, safety issues, etc.,) and the building itself will often need substantial repairs. Generally, class C buildings are at least 20 years old or more, and many of the repairs that are lacking would bring them up to more modern standards. Class C buildings can often be a good starter space for small businesses that can’t afford Class B or A buildings, but sometimes the locations alone set the businesses up to fail. In some cases, class C buildings are simply sold to be redeveloped or renovated because they aren’t worth renting out.
Class B
Class B buildings are the middle ground. They are better than class C but not as luxurious as class A. Often, a class C building that undergoes significant renovations can achieve class B status but not necessarily make it to A. Class B buildings may suffer from some of the drawbacks of class C, but not all of them. For instance, a building with a class A location that is over 20 years old and lacking in modern amenities, might be a class B building, but so would an updated and modern building in a terrible location. Class B buildings might be a good fit for most businesses, but it really depends on the factors that make them a class B.
Class A
Finally, a Class A building is a top-level building. These are the buildings in the nicest areas, with the best amenities, and thus command the highest rents. Class A buildings will always be newer, have top-of-the-line technology and amenities, and be in the best locations. Class A buildings also have good property management, making them well-kept and aesthetically pleasing.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.