In the current post-pandemic environment, many workers continue to work remotely, and most tenants don’t need as much space as in pre-pandemic days.
The impact is higher vacancies in the office sector and owners desperately trying to retain and attract tenants. Many landlords in the war for tenants have turned to offering new workplace amenities such as conference room services, fitness centers with nutritionists, and high-end food and beverage offerings.
To provide these services, landlords engage with third-party vendors and these arrangements present the potential for some thorny legal liability, according to a column at GlobeSt.com. To prevent that, both parties must hash out details over responsibilities for the engagement to ensure that it works as expected.
For example, a contract should include clauses about who can access bank accounts and who provides accounting support for expenses and revenue. Also, the vendor must be in tune with requirements in the landlord’s insurance to prevent inadvertent actions that could negate coverage.
In addition, amenity vendors may be unfamiliar with the coordination needed to operate the building when it comes to things like elevator usage, HVAC, access to loading docks, trash disposal, and parking. Details like that, if not spelled out in advance, could lead to rancor between the landlord and vendor, or worst case, a legal confrontation.
Design and construction firms should be aware of this dynamic when renovating space for upgraded office enhancements, as it could complicate the programming process or even derail a project.
Related Stories
Biophilic Design | Jan 16, 2024
New supertall Manhattan tower features wraparound green terraces
At 66 stories and 1,031.5 ft high, The Spiral is BIG’s first supertall building and first commercial high-rise in New York.
Sustainability | Jan 10, 2024
New passive house partnership allows lower cost financing for developers
The new partnership between PACE Equity and Phius allows commercial passive house projects to be automatically eligible for CIRRUS Low Carbon financing.
MFPRO+ Special Reports | Jan 4, 2024
Top 10 trends in multifamily rental housing
Demographic and economic shifts, along with work and lifestyle changes, have made apartment living preferable for a wider range of buyers and renters. These top 10 trends in multifamily housing come from BD+C's 2023 Multifamily Annual Report.
Green | Dec 18, 2023
Class B commercial properties gain more from LEED certification than Class A buildings
Class B office properties that are LEED certified command a greater relative benefit than LEED-certified Class A buildings, according to analysis from CBRE. The Class B LEED rent advantage over non-LEED is about three times larger than the premium earned by Class A LEED buildings.
Office Buildings | Dec 12, 2023
Transforming workplaces for employee mental health
Lauren Elliott, Director of Interior Design, Design Collaborative, shares practical tips and strategies for workplace renovation that prioritizes employee mental health.
Office Buildings | Dec 11, 2023
Believe it or not, there could be a shortage of office space in the years ahead
With work-from-home firmly established, many real estate analysts predict a dramatic reduction in office space leasing and plummeting property values. But the high-end of the office segment might actually be headed for a shortage, according to real estate intelligence company CoStar Group.Â
Transit Facilities | Dec 4, 2023
6 guideposts for cities to create equitable transit-oriented developments
Austin, Texas, has developed an ETOD Policy Toolkit Study to make transit-oriented developments more equitable for current and future residents and businesses.
Office Buildings | Dec 1, 2023
Amazon office building doubles as emergency housing for Seattle families
The unusual location for services of this kind serves over 300 people per day. Mary's Place spreads across eight of the office's floors—all designed by Graphite—testing the status quo for its experimental approach to homelessness support.
Engineers | Nov 27, 2023
Kimley-Horn eliminates the guesswork of electric vehicle charger site selection
Private businesses and governments can now choose their new electric vehicle (EV) charger locations with data-driven precision. Kimley-Horn, the national engineering, planning, and design consulting firm, today launched TREDLite EV, a cloud-based tool that helps organizations develop and optimize their EV charger deployment strategies based on the organization’s unique priorities.
Market Data | Nov 27, 2023
Number of employees returning to the office varies significantly by city
While the return-to-the-office trend is felt across the country, the percentage of employees moving back to their offices varies significantly according to geography, according to Eptura’s Q3 Workplace Index.