Fitted Offices 2024: The Future of Workspace Design
Fully-fitted solutions are increasingly being recognised as a valuable tool to boost letting prospects, the future of workspace design. However, a wide variety of models and complexities exist that require careful consideration and expert advice for both occupiers and landlords.
A STARTING DEFINITION
In the simplest terms, fully-fitted space involves the landlord committing the finance and taking responsibility for providing the office fit-out on behalf of the tenant. Lease lengths for fitted spaces typically range from two to five years, making them well-suited to smaller occupiers. Rental levels generally fall between those of serviced offices and conventional unfitted offers.
Transactions involving fitted spaces are most common at the smaller end of the market (i.e., sub 3,000 sq ft), but there is no theoretical limit to size. Increasingly, larger deals involving fitted spaces, some exceeding 10,000 sq ft, are being completed. While the scope of the fit-out can vary, fitted spaces typically include ready-installed kitchens, furniture, elements of IT (such as AV in meeting rooms), and all the design touches tenants need upon lease commencement.
An important addition to modern fully-fitted solutions is fibre-ready connectivity. These spaces now often include a pre-installed infrastructure, that enables tenants to access an ultra-fast fibre internet connection within 24-hours of formal lease completion. This enhancement caters to the growing demand for immediate, reliable, and high-speed internet access, further increasing the appeal of fully-fitted offerings for occupiers seeking seamless transitions.
A Fully-fitted suite at SIXTY Grey Street, Newcastle Upon Tyne – a Fibre-ready building managed by Fuse Telecom Ltd
AN ATTRACTIVE OPPORTUNITY
With finance and build costs remaining elevated, a fitted space sees the initial capital expenditure shift to the landlord. With many occupiers still uncertain over their long-term space needs due to shifting working patterns and economic uncertainty, fitted space is a relatively hassle-free approach to secure a good quality workspace. It removes a key barrier to entry associated with non-fitted spaces, helping to save both time and effort.
WHAT ARE THE BENEFITS TO THE LANDLORD OF A PRE-CONNECTED FIBRE-READY BUILDING?
⚡Lettability – In addition to the marketing benefits, ready-fitted options are typically quicker to let than unfitted options, meaning lower void risks.
⚡Limited Incentives – Providing a fibre-ready building will significantly reduce the need to offer rent free incentive packages, typically down to 50% or below market incentives on Cat A space. The effective savings generated from zero/minimal incentives can be used to support the financing of the fit-out.
⚡Income Generator – For each tenant that connects to the existing building fibre connection in the building, this will significantly reduce your monthly cost - which could pay for a Guest Wi-Fi network or be reinvested elsewhere. If your building has a manned reception area or communal meeting rooms, this is a perfect solution to have.
⚡Security – The infrastructure from a fibre leased line will ensure your building is attracted by blue-chip client tenants and financial services. Other than start-up companies, a business won’t operate on a shared internet connection. They require security, fast and symmetrical speeds and SLAs – only available from a leased line connection.
⚡Hands off data management - Fuse Telecom Ltd deal with all tenant queries
WHAT ARE THE BENEFITS TO THE TENANTS?
⚡Full Connectivity within hours
⚡Secure Connection
⚡Guaranteed upload & download speeds
⚡Full support 4-hour break fix Service Level Agreement
⚡Flexible data provision (can be flexed up or down) depending on business requirements/needs
⚡No lengthy or costly wayleave agreements
⚡Competitively priced (you won’t find cheaper on the market)
HOW DOES IT WORK?
- Pre-install fibre to every floor in the building
- Deliver a service to incoming occupiers on day-1 of formal lease completion
- Remove the need for multiple wayleave agreements and the stresses they come with
- Improve the onboarding experience for a new tenant in their new business home
↳ Request a call with our data connectivity experts to find out more: