Strategies for managing the serviced office portfolio

Abstract

This paper considers serviced offices and explains why they comprise a mismanaged part of most client portfolios. Serviced offices are often referred to as the ‘blind spot’ in any real estate portfolio for two reasons: they usually are not the biggest part of a portfolio and, consequently, some brokers do not pay much attention to them because the commissions are not high enough. But significant savings and tremendous operational flexibility can be achieved by knowing who best to work with, what negotiation strategies to employ and how to continue to work the market and avoid the auto-renewal death spiral.