office space Kansas | Southcreek

Determining Office Space in Kansas Location: Part II

There are many important factors to consider when choosing a location for your small business office. This process involves investigating a location’s demographics, potential competing businesses, state laws and taxes, how it fits in your budget, proximity to your supply chain, and more. After considering your business’s needs, the next step in the process is to evaluate your finances. Before you can figure out just what kind of space is in your budget range, you need to take into consideration a few other financial factors:

Minimum Wage – many states have a higher minimum wage than the federal minimum wage. You can check out the minimum wage rates by state on the Department of Labor’s website.
Hidden Costs – keep in mind that most spaces are not business ready. You will have to factor in costs of renovation, IT system upgrades, decorating, and other things along those lines.
Taxes – make sure you know the sales tax and income rates for the state, as well as property tax rates. Find out if moving your business across a nearby state line could lower your tax rates.
Government Economic Incentives – the location of your business can potentially make you eligible for government economic business programs, giving you access to state-specific loans for small businesses or other financial opportunities.

Want to talk to a commercial real estate broker in Kansas City about any financial question in your search for commercial realty in Kansas City? Feel free to give us a call at 913-685-4100!

Operations and Management Administrative Fees for Office Space in Kansas

If you are already paying CAM fees as a tenant, beware of any added fees for operational or management costs. These fees might be labeled as “Administrative Fees,” and are a landlord’s way of trying to get a tenant to contribute to his or her own costs. These administrative fees are typically based on a percent of total CAM costs. As a tenant, you will want to object to such costs, or at least see evidence of how your share of these fees has been calculated. Most tenants object to O&M fees because the landlord already makes a profit off of the rent tenants pay, even without the CAM fees. Here are some tips for dealing with these extra fees in a lease:

If your CAM fee includes O&M fees that go towards liability insurance costs, the salaries for administrators or management (on or off-site), advertising, or professional services (i.e. legal or accounting), you should try to negotiate these specifically out of our lease.
Savvy negotiating tenants will try to reduce the percentage of these fees (which can range from 5% to 25%) and eliminate costs that are not related to maintenance (i.e. utilities, insurance, taxes).
You could try to argue that repair and maintenance costs related to buildings (i.e. roofs, foundations, exterior walls) are not your responsibility because they are not common areas used by you and your customers.

You might not be able to eliminate these fees entirely, but be aware that they might be in your lease and you might be able to at least negotiate their reduction.

If you are looking for affordable office space in Kansas City, give a DDI Commercial real estate broker in Kansas City a call at 913-685-4100 to talk about our available spaces!

Information to Include in a Counter Offer for Office Space in Kansas: Part II

A counter offer is a chance to make a sales pitch to a landlord, both asking them to select you as a tenant over other interested parties and to concede to your terms. Here are a few more tips on what to include in a successful counter offer letters:

The Nature of Your Business. Tell the landlord what you do, and be concise and to the point. Landlords need this information in case the nature of your business requires special considerations. For instance, they need to know if you use hazardous materials, store extremely valuable items, or have walk-in patients as a healthcare facility, in case of property use restrictions. Be honest, because what you do as a tenant can affect the property value and insurance rates of a landlord.

Contact Information. This includes a phone number where you can be reached and an email address. Let them know if you can only be reached on specific days or during certain hours.

Your Counter Offer. Most importantly, you will want to include your proposed terms, and be as clear and thorough as possible.

Check back to later posts to find out more about what to include specifically in your proposed counter offer terms, but remember it is equally important to include all of these other details to best represent your business to a landlord and to facilitate the negotiation process as smoothly as possible.

If you are looking for commercial space for lease in Kansas City, give us a call at 913-685-4100 to learn more about our affordable office space in Kansas City!

Information to Include in a Counter Offer for Office Space in Kansas

A counter offer letter is both a chance to ask for different terms that are better for your business and for you to show the landlord that your business is the best choice over other potential tenants. Here is some information that you should typically include in a counter offer letter:

Your Business’s Name. Both the name that you are legally established under and any other names you might be doing business under.

The Structure of Your Business. Let a landlord know where you are incorporated, if you are incorporated, or tell them if you are a tax-exempt organization. Landlords rarely offer nonprofit organizations freebies or perks just for a tax write-off, but they may be inclined to negotiate or lease with an organization with a noble cause over other potential tenants.

The Age of Your Business. If you have only been in business less than two years, you might want to give the landlord some information about your success so far, or your projections for future growth. A landlord might be unlikely to rent to your business without a personal guarantee if you cannot provide some evidence that your business has been doing well.

Check back to a later post for some more important pieces of a good counter offer!

If you are looking at office suites for rent in Kansas City, give a commercial real estate broker in Kansas City a call at 913-685-4100 to talk to us about what kind of space your business needs and how we can match you up with the best available space for your business!

The Benefits of Using a Real Estate Specialist to Find Office Space Kansas

In smaller real estate markets, brokers and sales agents are often generalists. However, in larger cities, brokers and agents often have additional training and possibly accreditation in an area of specialization. There are a number of different ways to specialize:

Retail space
Industrial property
Office space
Real estate investments

Within each of these areas you might find further specialization:

Specific areas of retail, i.e. shopping malls
Investment brokers strictly specializing in real estate investment trusts (REITs)
Specific industries such as banks, law firms, technology companies, or call centers
Agents working with only buyers or sellers
Agents finding property for rent or lease

For each industry type you might be able to find a broker who has training and experience in that area and can strategically scratch your business with the best real estate for you. Larger firms often have many different categories with several specialists for each category, while smaller firms might either take a generalist approach or only focus on one area of real estate.

You will first want to determine the specific needs of your business before finding a specialist who can help you meet your needs. The benefit of using a specialist is that she or he will know the ins and outs of renting a specific type of property, and will be more likely to deliver a favorable outcome for your business rental.

If you would like to learn more about commercial realty in Kansas City give one of a commercial real estate broker in Kansas City a call at 913-685-4100!

Documentation to Prepare When Applying for a Loan for Office Space in Kansas City

Some lenders for commercial real estate loans specialize in funding specific types of commercial ventures, such as retail operations, warehouses, or apartment complexes, while others provide financing for a more general variety of commercial real estate ventures. However, despite the fact that there are many different types of financing and commercial real estate, most lenders are primarily concerned with the level of risk involved in giving out a loan. To assess this level of risk, they will want to see certain documentation from a business, so the best thing a business owner can do to start the loan acquisition process is to have the following paperwork in order:

Income and expense statement for the property that demonstrates a solid stream of income
Management team profiles
Financial statements on all principles involved as holders of the property
Property appraisal
Financial statements on the borrowing party
Plans for the use of the property

In addition, the borrower will also be asked to pay1-2% of the terms of the loan to show their commitment to the deal, which will be refunded once the loan is closed. Having your documentation ready and knowing what a lender is looking for in a potential loan candidate can help you secure your loan and put you one step closer to your ideal office space in Kansas!

Give Kathy Woodward at DDI Commercial a call today at 913-685-4100 to learn more about office rental in Kansas City through Southcreek Office Park!

Analyzing Your Needs When Renting Office Space in Kansas

An important early step in finding office rental space is analyzing the needs of your company. This can both help you narrow down your potential space options and prevent issues from arising later in your lease. There are a few factors that you might consider as you prepare yourself for your search for a commercial rental space:

Your business’s corporate objectives.
The importance of building attributes such as image, location, service, and amenities to your company.
What you would like to see in your lease terms and what price range you are willing to consider.
Any legal parameters.
The size of offices, open areas, and any warehousing areas.
The size of common use areas, including copy, break, conference, and storage rooms.
What kind technological amenities your business might need.

At this stage of the rental process, pre-determining the square footage your business is looking for based on your needs can also be helpful in narrowing down potential rental spaces. You might consider planning out in detail how your business will use a space. This involves looking at each component of the space and asking yourself detailed questions about how you want it to look. For instance, when you consider a reception area, you might think about whether you want a built-in desk, how many guest chairs you need, whether you want elevator exposure, etc. Determining all of your needs in detail can make later steps in the rental process go a little more smoothly.

Give one of Southcreek’s commercial realtors in Kansas City a call at 913-685-4100 to ask about how we can work with you to determine if our office rental space in Kansas City meets your business’s needs!

Location Questions to Ask When Looking for Office Space in Kansas

What is an important factor in renting commercial real estate? Location, location, location! Perhaps you live in Kansas City and are looking for a new office space, or maybe you are from somewhere else in the country searching all over for a new home for your business. You want your business to be located in a place that will best help it flourish, whether you are a small start-up company or an established business. Here are a few questions to ponder as you search for rental space:

Would you prefer your business to be located downtown, in a major business district, or in a smaller community?
Will the location be desirable for your employees, with plenty of parking space and places to go for lunch?
Is the location easily-accessible (i.e. near a major highway)?

Consideration of these factors for the sake of your clients and your employees are an important part of picking a location for your business.

Did you know that Southcreek Office Park is located in Overland Park, giving you access to all of the services and amenities this area has to offer? Southcreek is located near other businesses that will help your business thrive—from banks and hotels to restaurants and golf courses. Our office buildings also offer easy highway access! While we are not in the heart of downtown Kansas City, our location in Overland Park still offers the benefits of being near a major city. For more information about our commercial rental property in Overland Park, give us a call at 913-685-4100!

Riley County Fair Near Southcreek Office Park

‘Tis the season…for county fairs! There are plenty of fairs going on in the Midwest this time of year, so don’t miss the chance to visit at least one of them! The Riley County Fair has it all—rides, fair food, a rodeo, and more! The fair will take place on the Riley County fairgrounds from July 26-30. Here are a few events you won’t want to miss:

4-H Bake Sale – Cookies, cakes, pies, oh my! The sale will take place on Wednesday, July 25, from 4-7 pm and Thursday, July 26, from 8 am until the baked goods are gone.
Ottaway Amusements Carnival – Every night of the fair from 6:00 – 11:00 pm. Buy a wristband for $22 to ride all of the rides.
Pedal Tractor Pull – Youth ages 4-12 are invited to race tractors attached to a weighted skid using their own pedal power. Contest takes place Thursday the 26th at 7:30 pm.
Riley County Fair Parade – Local businesses, organizations, and politicians are all welcome to participate—no pre-entry required. Just check in at 5:30 on Thursday to reserve a spot, and the parade begins at 6:00.
Fair Factor – Takes place on Saturday the 28th. Teams can enter to participate in eight different contests to determine the Fair Factor winner!
Entertainment Stage – Enjoy live, local entertainment from July 27-29, and even enter the 6th Annual Riley County Idol Contest!
Blue Valley Pork Producers BBQ – On Friday, July 27 from 5:00-7:00 pm, dig into a pork burger, baked beans, chips, ice cream, and a drink for $6.00.

Don’t miss out on these and more events!

Love the Midwest and looking for affordable office space in Kansas? Give one of our commercial realtors in Kansas City a call at 913-685-4100!