Office relocation is not an easy or inexpensive process. If you are considering a company relocation, one question on your mind is whether to purchase or lease new office space.
Here are a few questions to ask before you make the decision:
- Do you want to be in the business of real estate investment, too? Like it or not, when you purchase office space, there are many other expenses that go along with it, including maintenance and upkeep. And should you ever decide to relocate again, you'll have one more task on your plate—selling or leasing your existing space.
- How much cash do you have available? After you factor in all relocation costs, do you have the liquid cash available for a down payment, closing costs, building inspection, etc. to purchase an office building? If so, is real estate your best investment for that money?
- How long will you fit in the new space? Company growth is good, but it could mean another office relocation as your company expands. If this is a short-term relocation due to rapid expansion, leasing could be the best choice. Unless, of course, you plan to create another income stream through real estate investing.
Whether You Lease or Buy, CapRelo Can Help
Whatever choice you make, or even if you have an existing building you need to lease or sell, CapRelo has the industry connections to help. Through our non-exclusive supply-chain partners, we can assist with commercial real estate sales, purchase, or leasing. It's just another aspect of creating a low-stress relocation experience for our clients.