Having a dedicated office space to excel in your professional role and expand your creativity can do wonders, especially after spending much of the last few years working from home. However, as you seek to improve your productivity in a professional office space, you have to consider, is it really worth the cost? Thankfully, the cost to rent office space varies greatly and can suit everyone's needs and budget.
To help you understand the ins and outs of how much to rent office space and the average office rental price, we are breaking down everything you need to know to find the best office spaces for rent in Chicago.
Factors Affecting the Cost to Rent Office Space
There are a number of different factors that affect office space rental rates. From location and office size to the amenities, here's what to consider when renting office space and exploring the office space rental cost.
When navigating how much to rent an office space, you will quickly find that the city you're looking at plays a huge role in the office rental rates, but there are additional locational factors at play.
Choosing a high-traffic location is a huge benefit to both employees and clients. Opting for an area with a high concentration of your target demographic and without a large number of competitors will pay off in the long run.
Additionally, choosing an office location near a busy road or heavy foot traffic areas will further increase the average office rental cost. This can be beneficial to draw in employees to a bustling neighborhood but is something to consider when budgeting for your rent.
Square footage is another key factor when navigating how much does office space cost. Typically, your payment per month depends on the square footage you require to operate your business.
With this in mind, be sure to select an office that fits all your employees comfortably but doesn't leave a lot of unnecessary, unused space to drive up costs. typically, we recommend between 75 and 200 square feet per employee. Additionally, be sure to leave space for some of the amenities you would like to have in your offices, such as filing cabinets or printers.
Grade of Building
The cost to rent commercial office space also depends on the building grade. For instance, a Grade A or B building will affect your rental cost, and if you want a higher-class building, you will pay more for those office space rentals.
Lastly, office space rental rates will increase depending on the amenities included. Buildings with added facilities and amenities will charge more for rent. While high-speed internet, workstations, and desks will come without an added charge in these commercial space costs, add-ons such as a lounge area, meeting room, conference room, private kitchen, or coffee machine can add to the rent. Additionally, many luxury buildings offer outdoor spaces and gyms, which are attractive to staff but come at a cost.
Average Cost to Rent Office Space
No matter where you are, the average office space cost will vary, primarily based on neighborhood. As expected, the Chicago office space cost is higher in more central areas, like River North and the Loop, while further north or south locations will feature a lower cost to rent office space.
To better understand just how much does office space costs in Chicago, we are breaking down the local office space cost per square foot in Chicago, compared to that of other major cities.
- Chicago: $33.90 /sq ft.
- New York: $85.20 /sq ft.
- Austin: $48.40 /sq ft.
- Dallas: $28.90 /sq ft.
- Houston: $31.40 /sq ft.
- Washington, D.C.: $59.70 /sq ft.
- Boston: $41.50 /sq ft.
- San Francisco: $92.70 /sq ft.
As you can see, while Chicago may not have the lowest office rental price per square foot, it's certainly not the highest when it comes to the average office space cost by city. With this in mind, this number can vary based on neighborhood, allowing you to find an office space cost in Chicago that suits your needs.
Prices for Different Office Size Options
At 620 N LaSalle, as well as other popular office spaces, figuring out how much office space costs depends on how much space you need and how many people you're looking to accommodate. The cost of office space will increase based on if you choose a small, medium, or large space.
How Much Does It Cost to Rent Large Monthly Office Space
Looking to gather a group of anywhere from 5 to 25 people? Next Realty offers large monthly office space options to suit any business's office needs, whether temporary or long-term.
Our prices vary based on the room size you choose, with a 23-person suite coming in at $10,350 per month, while a five-person suite averages around $2,375. This way, you can accommodate groups of any size on a month-to-month basis.
Beyond the room, you will also receive Wifi, bike storage, rooftop access, and other building amenities to ensure you have a well-rounded office experience.
How Much Does It Cost to Lease Small Office Space
Small business owners looking for a smaller office space to suit just a few employees, should lease small office space options to suit this more compact group.
While tiny office space may sound limiting, our options at Next Realty include a range of private offices, offering mini office space for rent at a cost you'll love. For example, our 2-person suites are just $945 per month, while somewhat larger three-person suites are $1,500. Similar to our larger space, this will include Wifi, desks, and chairs, as well as access to all building amenities including the rooftop and gym.
How Much Does It Cost to Rent an Office for a Day
Wondering how much does it cost to lease office space for less than a month? There's no need to commit to a full month in coworking spaces. At Next Realty, we offer daily office rentals, allowing you to find a quiet, professional space to take client calls or important meetings in a more professional environment.
As with all our other rooms, the cost of office space per day varies based on room size and even desk space. Starting with the smallest room option, a single office for one person is $75 per day. For larger groups, a small private office for 1-4 people is $120 per day, while a large office for 5 to 15 people is $350 per day. Although these are only daily rentals, you will receive the same access as monthly leases, allowing you to access the building's amenities for the day.
Additional Charges You May Face When Renting an Office
Before calculating your average cost of office space in Chicago, it's important to take into account any additional charges, insurance, and tax that may come into play. Some commercial landlords will charge you a common area maintenance fee, which will heighten the office space in Chicago cost. Additionally, you can be charged for property tax, utilities, and your portion of the insurance for the space.
To avoid any unwanted or surprise charges, be sure to look into all these added costs before signing your lease. At Next Realty, you can count on all taxes already being factored into the final cost, so no surprises come your way.
How to Calculate How Much Your Business Should Pay for Rent?
So home much can you spend to rent a small office space?
When it comes to calculating how much your business can afford, you'll want to look at a very simple equation - gross sales divided by square footage. This will give you the sales per square foot you can spend. so, if your monthly rent works out to be $4 per square foot, then divide your monthly rent by your sales per square foot to find out the percentage of income that can go to rent.
It's important to calculate how much you can afford when exploring the cost to rent office space to ensure it's a smart option. There are a variety of office rental price options available, but staying within budget will ensure you're productive, without blowing your savings.
Whether you're looking to get out of your home office and utilize single office space for a few days, or are looking for a new office environment for your growing company, Next Realty has an array of office spaces available at competitive prices.
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