What is flex space? Flex space is a term used for lightly zoned buildings. It is also used when referring to industrial or office space. According to CoStar, it is “a type of building designed to be versatile, which may be used in combination with office (corporate headquarters), research and development, quasi-retail sales, and including but not limited to industrial, warehouse and distribution uses.” The term evolved from light industrial warehouses being converted to office space.
- Less demand because it is a hybrid of Office and Industrial space which gives tenants leverage to negotiate a better deal.
- flex space may allow a company to have a higher occupancy of cube/office space and less wasted work areas and still have industrial production area.
- Typically, better parking ratio then an industrial building.
- A typical flex space will have at least 40 to 80% office and the rest warehouse as compared to the typical industrial space where 10 to 20% is office and the rest warehouse.
- Since, the lease rates for flex space are usually less expensive than office space, it is a good alternative for budget-conscious companies who can utilize its benefits to address specific space needs.
- The benefits of flex space go above and beyond being ‘less expensive,’ It is being considered much more for its versatility and value.