Is “Build to Suit” Right for Your Business?

Is “Build to Suit” Right for Your Business?

Every professional in the business world dreams of custom office space, the type of space achieved with “build to suit” office customization. Build-to-suit means office space designed perfectly to meet your company’s needs. Build-to-suit office space is designed and constructed to the exact specifications exclusively for a single occupant at an ideally selected location. Build-to-suit delivers functionality and style with premium space and efficiency and allows the business to showcase its brand.

Choosing Build-to-Suit

When a business is outgrowing its current space or realizes the current space is not suitable for future growth, a decision must be made. There are several options from which to choose to gain the needed space:

  • The company can seek additional office space from among the space available in the area. While this option is often less expensive and without complication, it is also the most limiting as the company must choose from among available properties.
  • The business can purchase and renovate an older, existing property. This can be a positive choice for businesses with exceptional credit but is again limiting as the business must choose from among existing properties.
  • The company can buy land and build the needed business property. This option requires quite a bit of capital as well as undertaking all the risk for the property.
  • Build-to-suit offers an option in which the business goes to a developer with the specs for their ideal space. The developer builds the property according to the company’s specs and leases the property to the company. With build-to-suit, the company assumes less risk without an extensive capital investment.

The Pros and Cons of Build-to-Suit for Your Business

Build-to-suit, while attractive to most businesses, is not for everyone. Build-to-suit takes time, often several years. The developer must find the land, purchase it, negotiate every aspect from design to construction, and oversee the construction of the building. Once complete, the company seeking the space often faces a lease term of ten years or more, making it considerably more expensive than finding and leasing an already available space.

On the other hand, for business able to make a lengthy commitment, build-to-suit is often the ideal solution. The location is hand selected, often in growing, thriving areas, offering exceptional access. Build-to-suit properties are built according to company specs, which means collaborative spaces, privates offices, excellent workflow, and maximum efficiency. Because the property is built-to-suit, it can reflect your brand in every detail. In addition, your new space will also feature the latest in state-of-the-art systems including lighting, electrical, plumbing, HVAC, and more which means costs savings, energy efficiency, and sustainability. And, of course, no one can deny the attraction of every fresh, brand new detail from floor to ceiling.

What About Building Ownership?

Is not owning the building a con for build-to-suit? It depends. If the company is large, with exceptional credit and lots of capital, constructing and owning the building would be a positive. Conversely, smaller companies, who would prefer to invest the capital on hand into the business for a better return on investment, will likely find not owning the building a positive which comes without the headache of building management and maintenance.

Ready to Build-To-Suit or Renovate?

When your company is challenged for space, turn to the professional contracting team at Perillo Construction to help you find the ideal solution. At Perillo, you will find expert construction services, architectural support, and tenant project management, with a trusted professional team who delivers premium quality and service that is always on time and on budget.