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July 14th, 2010 9:50 AM

In leasing office or retail (and industrial) real estate you will most likely hear it quoted as a price per sq. foot.  That price will be an annual number.  The way you compute it is, if you're quoted $12 per sq ft. and it's a 1000 sq ft space the rent would be $12000 per year.  Then just divide by 12 for the monthly. 

But wait, you now need to ask is that $12 net or gross.  Net means you will also pay the property tax, Insurance and maintenance.  Gross is all inclusive.   

In today's comercial real estate market the "nets" are running another $2.50- $5 per sq. ft. and that is also an annual computation.  So, add them together, the base of $12 and say $3.50 for the Nets and you get $15.50 times the twelve.  Don't forget to add 6.5% sales tax.

If buying you'll most like hear a price per sq ft.  Warehouse will be around $60 per sq. ft under roof, office $120 as well as retail, depending on the build out.  I've seen many office and retail spaces in this market going now for $80 per sq ft.

If you're thinking of a new space for your business, now is the time.  If you're medical, check out www.BusinessLocationsOnLine.com/DunnSale.  If you need inexpensive AND NEW office check out www.BusinessLocationsOnLine.com/HullPointe

If you need help sorting out the gross's from the nets, call me.  I've been doing it for over 30 years, Claude Gardner, 386 846 4135.


Posted by Claude J Gardner PA CCIM on July 14th, 2010 9:50 AMPost a Comment (0)

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