The Square Footage Factor

Square footage represents the crux of any real estate transaction. It determines the total rent and thus the amount of your payments for the entire term of the lease.

As such, a broad familiarity with square footage measurements in general, and specifically your company’s needs, represents a foundational step in the relocation and renewal process. Surprisingly, square footage can become a very fungible number, both due to the way the measurement is calculated, and the variability of your office space needs.

The amount of square feet required can be affected by a circulation factor you will need for hallways and other open areas; by an inefficiency factor to account for wasted areas; and a loss factor for common areas of a building such as fire stairs, mechanical rooms, cafeterias and lobbies.

For tenants 4,000 square feet and greater we recommend adding an architect to the team. This professional can optimize layouts to ensure you are using your office space in the most efficient way possible. A good plan for workspace configuration can save significantly on square footage needs.

In addition, an architect can help a company determine the size and quantity of offices (CEO, large, standard or small) as well as work stations, conference rooms, huddle rooms and areas such as a kitchen. They will then add a circulation factor and a loss factor to arrive at a rentable square footage estimate. They can also create “what-if” scenarios based on your company’s changing needs or evaluate the impact of adding or deleting items such as offices or workstations to your total square footage number.