What to Consider When Choosing Office Space
Key factors when your business needs to refurbish or relocate office.
In the ever-evolving world of work, businesses need to continually assess how their office space supports their team and operations. Whether you're considering relocating to a more convenient location, or expanding due to growth that your current premises no longer accommodates, read on for considerations to empower your team in making strategic, impactful decisions about your workplace.
Planning ahead
Whether you intend to refurbish or relocate, it's crucial to begin planning 12 to 18 months in advance. This time frame allows for comprehensive planning, including budgeting, design, construction, and logistics, while minimising disruption to regular operations. It also provides time for engaging stakeholders, securing permits, and addressing unforeseen challenges, ensuring a smooth transition to the new space.
Determining how much space is needed
Calculating the required office space involves several considerations: employee count, the nature of your work, and space requirements for common areas, meeting rooms, and private offices. The Building Code of Australia requires a minimum of 10 sqm per person, but this can vary based on specific needs and workspace layout. Rather than relying solely on office space calculators, which might lead to overestimation, planning with flexibility and future growth in mind is essential to ensure the office remains suitable for years to come.
Projected headcount growth
To ensure your office space can accommodate future growth, it’s worth conducting a space planning analysis. This analysis should consider current and future needs, workspace standards, and growth forecasts. Regular reviews and adjustments are necessary to align the office space with your company's evolving requirements.
Impact of office location on productivity
The location of an office can effect employee productivity in a number of ways. It influences commute times, access to amenities, and work-life balance for everyone who travels to the office; A convenient and accessible location can enhance morale, reduce stress, and create a more positive work environment. Additionally, proximity to clients and partners can facilitate networking and business opportunities. Choosing the right location also helps attract talent to the business and retain the best existing talent.
Environmental considerations: relocation vs refurbishment
Environmental factors play a critical role in deciding between relocating and refurbishing, that is important for any environment-conscious company to consider. Refurbishment can reduce environmental impact by utilising existing structures and incorporating energy-efficient upgrades. Moving to a new location provides an opportunity to invest in new, high-performance buildings and amenities. The type of fitout—whether shell and core, affects cost, timelines, and sustainability. Choosing a shell and core space, for instance, allows for a tailored fitout with minimal environmental impact due to reduced demolition and waste.
Reasons to consider office refurbishment
Businesses often opt for office refurbishment to update their workspace to reflect current branding, enhance employee morale, accommodate new work models, or improve sustainability through energy-efficient upgrades. Older buildings can be refreshed with new amenities, and landlords might incentivise tenants to extend leases with favourable terms and contributions towards refurbishments. While the capital costs of fitting out an office are significant, evaluating long-term operational and financial impacts is crucial. Factors such as market conditions, vacancy rates, and dilapidation costs also influence the decision to refurbish rather than relocate.
Sheldon’s long-term client Thinktank made a considered decision to remain in their North Sydney location, yet take a full extra floor beneath their existing fitout, and refurbish the original floor. Read more about why they took this route here.
Reasons to consider an office relocation
On the other hand, relocation may be driven by the need for more space, a better location, upgraded facilities, reduced costs, or changing work styles. Relocating can also provide a fresh environment conducive to new work practices and offer better amenities, meeting rooms, and green certifications that might not be possible with just renovation.
Read more about the CFO’s perspective on the financial benefits of a new office fitout here.
Key factors involved in selecting an office space
Budget: There’s no doubt about it, budget will define and dictate a lot of the office refurbishment or relocation process. No matter the budget, there are options to ensure your team’s needs are met. Setting a clear budget for rent and additional expenses such as moving costs and new equipment from the outset will ensure a smooth process.
Location: Decide between a CBD location with great accessibility and amenities versus an outer-CBD or suburban, potentially cheaper location. Consider commute times, parking, and public transport accessibility.
Size: Ensure the office is large enough to accommodate your current team and future growth, avoiding another move anytime soon.
Lease agreement: Review the lease terms to find a suitable arrangement, balancing long-term cost savings with the flexibility of shorter-term agreements.
Logistics: Plan for seamless business operations post-move, considering factors like parking, local amenities, and office infrastructure.
Aesthetics: Choosing a visually appealing office that boosts employee morale shouldn’t be understated. The impact of interior design to create a positive work environment is key to a successful move.
Finding the perfect office space is a balancing act of various factors to meet business needs and satisfy employee needs. While compromises may be required along the way, thoughtful planning and consideration will help secure an office that supports growth and productivity.
This article was written by Sheldon's in-house Workplace Design Strategist. She collaborates closely with client leadership and employees to gather data, ensuring validation of crucial ideas for project success. Her expertise informs workplace strategies aimed at designing innovative workplaces that drive success. For workplace strategy queries or advice, please contact salesrequest@sheldon.com.au