2600 Michelson Drive, Irvine, CA 92612

2600 Michelson Drive, Irvine, CA is a premier Class A office building located by the mixed use project, Park Place. This office building has recently completed renovations of a new building entry, an outdoor plaza and an updated lobby area.

The building has 4 full floors available of office space for lease that are configured perfectly for a law firm or another type of professional service firm. Each floor is 20,000 rentable square feet and have an asking lease rate of $2.25 to $2.35 per square foot per month full service gross.

2600 Michelson’s has a central location with upscale dining, hotel, and nearby access to John Wayne Airport.

Contact us for the latest property details, or search office space for lease in Irvine, CA and request your free 100% comprehensive survey of available office space that fits your space needs and budget.

33122 Valle Road, San Juan Capistrano, CA

VoitSpace recently represented IQinVision on a new 25,000 SF office space lease in Orange County

Challenge:

IQinVision was rapidly outgrowing its office space and required a new headquarter office facility with dry lab and storage space in south Orange County. Its real estate needs were very unique and there was very little commercial property for lease to choose from in the desired location.

Solution:

After analyzing IQinVision’s office space needs, we canvassed the target market to identify every building that met its needs. A suitable facility was uncovered, which VoitSpace learnt was soon to be vacated. We quickly opened lease negotiations with the owner and secured a new office space lease 20% below fair market rental value with a large tenant improvement allowance. VoitSpace also organized a professional team to design and build the tenant improvements and coordinated the entire commercial real estate process.

Results:

The office premises was delivered ahead of schedule and the tenant improvements were completed significantly under budget, providing IQinVision the unexpected benefit of a six-figure cash sum to pay down advanced rent. The building also offers long-term room for growth. VoitSpace has since negotiated an early lease renewal to reduce IQinVision’s lease cost by approximately 30%.

“VoitSpace was extremely proactive in managing the entire leasing process for us. In an extremely tight market with no obvious suitable opportunities, they proved invaluable in uncovering an “off-market” opportunity that accommodated all our needs.”

Charles Chestnutt | IQinVision

Click HERE to view a case study of the tenant representation services VoitSpace provided IQinVision on its new office space lease or go to www.iqeye.com for information on our client.

8105 Irvine Center Drive, Irvine, CA 92618

VoitSpace recently represented Doyle & Schafer on the negotiations of  a new Class A office lease in Irvine Spectrum

Challenge:

Doyle & Schafer was presented with challenging lease renewal terms and required professional advice from VoitSpace. The firm’s current facility was dated and inefficient and there was a strong desire to locate to a more modern Class A building, albeit without increasing occupancy costs.

Solution:

We undertook a comprehensive audit of the existing office lease, and a comparable financial analysis of Doyle & Schafer’s ideal space, to determine the most favorable real estate strategy. Soft market conditions and our knowledge of the latest comparable lease transactions enabled us to negotiate the most economic lease terms possible, including a turnkey tenant improvement package and a rental structure substantially less than the firm was currently paying.

Results:

With our professional representation and comprehensive market knowledge, Doyle & Schafer as able to remain focused on an office lease renewal negotiation while actively pursuing alternative lease and purchase opportunities. The end result was a brand new facility, high-image office space, reduced rental overhead and substantial time savings for the firm’s principles.

“ We had a very positive experience during VoitSpace’s representation of our office space lease negotiations. Thank you for providing such a high level of professionalism, market knowledge and negotiating expertise on our new office lease.”

JJ Tucker | Doyle & Schafer

Click HERE to view a case study of the tenant representation services VoitSpace provided Doyle & Schafer on their new office space lease or go to www.doyleschafer.com for information on our client.

Office Space Relocation

As a full-service tenant representation broker in Orange County, CA, managing clients’ commercial real estate needs nowadays includes significantly more that advising on strategy, locating and negotiating leases/building purchases and project managing tenant improvements.

One of the most important elements that is often overlooked and one that I often receive requests for advice on is the relocation process. What do we need to consider? When and how do we plan for a move? How much will it cost? Who shall we select as vendors for furniture, phone systems, the relocation process itself?

As part of VoitSpace’s tenant representation services, we go to great lengths to ensure the relocation process goes as smoothly as possible, with the aim of minimizing disruption to our clients’ business and ultimately, their profitability during this always difficult transition. We manage the entire relocation process as part of our real estate management services and coordinate with in-house management if necessary. Alternatively, you could outsource the entire process and pay for a project management company. Either way, seek expert advice if you are not experienced with the relocation process. A professional tenant representation broker should provide this service free of charge so this is your best value option.

Factoring in a relocation budget is essential as part of evaluating the total cost of lease or purchase of a new facility. Most other relocation considerations can be left until up to three months before the big day. Every scenario is different so it’s critical that all the factors involved in a move are investigated and evaluated long before the lease or escrow on a new facility is closed.

Planning is key; if you fail to plan, you are planning to fail! You wouldn’t believe the things managers overlook so a checklist is essential.

Here’s a good one:

3 Months before Moving Day:

• Secure office space

• Communicate to employees

• Identify major tenant improvement needs

• Confirm relocation budget

• Choose the move date

• Start contracting for major tenant improvements

• Order new phone and fax number

1-2 Months before Moving Day

• Design office space

• Assign office space

• Order chairs

• Order desks

• Order systems furniture

• Hire movers

• Order change of address labels for notification

• Order new address labels for existing stationery, marketing materials

• Order signage for new location

• Identify phone system requirements

• Order phone lines

• Order Internet access

• Order phone forwarding

• Arrange internal/external maintenance service

• Arrange for trash disposal

• Set up cleaning service

1 Month before Moving Day

• Address punch list items on completed tenant improvements

• Get business insurance quote for new space

• Arrange for copier move or buy new equipment

• Order security system

• Order keys, access cards

• Arrange for beverage service

• Send change of address to all vendors

• Send change of address to all customers

• Send change of address to all subscriptions

• Notify all lessors of equipment move

• Order checks with new address

• Order long distance service

• Transfer 800 numbers or order new numbers

• Sell old equipment, furniture

• Install phone lines

• Install phone system

• Assign new phone numbers, extensions

• Order new stationery

• Order new business cards

• Order new business forms

• Repair new office

• Clean new office

• Identify closest overnight drop off boxes

• Inventory existing computers

• Inventory existing furniture by room

• Order dumpster for purging

• Purge old, obsolete materials

• Create new office extension directory

• Create new office layout map

• Create new fax cover sheet

• Create driving instructions

• Get new shipping labels

• Notify Post Office of change of address

• Update Web site with new information

• Add note inside mailbox about change of address

• Obtain moving crates/cartons

• Back up computers

• Take down systems furniture

• Pack up desks, personal spaces

• Pack up common areas

• Store property that will not be moved

• Tag furniture to be moved

• Tag all wall items and move to central location

• Install systems furniture

• Distribute new keys, cards

• Collect old keys, cards

• Empty, defrost and clean refrigerator

• Code new office space on a map for movers

Moving Day

• Post coded signs in new office for movers

• Protect main moving paths

• Move plants

For information on our full-service tenant representation solutions in Orange County, CA and a free, no-obligation consultation on how to best manage your office relocation, as well as recommendations for vendors, contact Stefan Rogers at 949.263.5362 / srogers@voitco.com

Tenant Representation

Your primary business is running your company, so hopefully, you don’t have to lease new office space or negotiate renewals more than every 3 to 5 years or so. Usually businesses lease office space only a few times in over the life of the company, while landlords on the other hand lease office space over and over again.

In most cases, landlords hire a listing agent to help market the property and advise them. Do they have an unfair advantage? You bet they do!

Balance this unfair advantage by engaging the services of your own qualified tenant representative.

Many tenants think that by hiring a tenant representative they will end up having to pay more in rent. When it comes to negotiating for office space, a good tenant rep will not only save you money, but will also make sure you don’t make any critical mistakes in the leasing process.

When deciding whether to use the services of a tenant rep, consider the following:

1) Real estate fees of typically 4%-6% of the lease amount are built into the cost of the lease

2) If you do not have a tenant rep, the landlord’s (listing) agent will keep the entire commission…

3) If you hire a tenant rep, the commission fee is split between the listing agent and the tenant rep.

4) The listing agent represents the landlord, and will always have their best interests in mind.

5) Not having a tenant rep will most often not save you the commission and you will most likely pay much more for your office space.

For most companies, real estate is their second-largest expense after payroll, and every dollar saved on your lease goes directly to your bottom line. Landlords will always look for the highest possible rent for the longest possible guaranteed term. Tenants typically want the lowest possible rent and the greatest lease flexibility. An experienced tenant rep will develop negotiating leverage and help you to get into a lease drafted in your best interests – not the landlord’s.

Action Steps:

Find the Right Tenant Rep for Your Particular Situation

When choosing a tenant representative, always go with a broker that exclusively represents tenants, as this will prevent a possible conflict of interest. The best tenant representatives are business consultants that specialize in real estate, and you want them to understand your business; budgets, growth projections, employee and visitor use of space, for example. Also it’s important to look for a tenant representative that can take control of the process at the right times and has experience as a tough negotiator. They need to know how to raise the right issues and questions and at the same time facilitate a well thought-out decision process. Try to work with a tenant rep offering experience closing deals on the specific type of office space you are looking for. It’s important your broker has enough deal making prowess and market savvy to deliver on the particular type of space your business requires.

Analyze and Define Your Space Requirements An experienced tenant representative can assist you in calculating your actual need for space and determining your company’s particular layout requirements. Your tenant rep can help you to evaluate your space plan and maximize the efficiency of space usage, which may decrease your rentable area . A landlord obviously has no incentive to assist you in increasing your economy of space and lowering your lease costs. By knowing your space plan, and therefore your business requirements, your tenant rep will also prevent you from wasting time on property negotiations that are not right for your organization. As part of the process of defining your space requirements, you should also consider geographical areas, the quality of space desired, the image you want your new space to portray, and how that ties into corporate objectives. An experienced tenant rep can be invaluable in that process, as well as help you to calculate the possibility for future expansions.

Investigate Properties and Determine Top Alternatives This involves more than scanning the available listing services. A professional tenant rep can identify a property that is not an obvious choice to meet your needs. This could result in lower rental rates and space that is otherwise better suited to your needs. An experienced tenant rep will have a general market knowledge of ‘deals’ available, and will verify the terms and conditions associated with each property. A tenant rep will help you narrow down the alternatives, and schedule tours with the top properties that meet your requirements. After touring the different locations your tenant rep will help you go over space plans as they relate to each property, and help narrow down your decision further, usually to a few alternatives. The tenant rep will request proposals from those properties, and perform layout efficiencies and financial analysis on the responses. At that point the tenant representative will help you to choose the top alternatives and prepare to make offers.

Create a Bidding War Among Landlords A good tenant rep knows that creating competition for your business will maximize negotiating position, and will try to start a bidding war among landlords. The result can be concessions and incentives that exceed the norm in the marketplace, such as free rent for several months or an allowance for tenant improvements (TIs). The tenant rep will protect your interests during lease negotiations, act as a buffer between you and the landlord, and ensure that you come away with terms that meet your present and potential future needs. For example, a tenant rep would ensure you retain such options as subletting in case you eventually downsize or outgrow the space. A professional tenant rep is familiar with real estate forms and documents, and having them prepare all proposal requests and letters of intent can help resolve issues before the final lease is prepared, and help you avoid signing something by accident or out of ignorance.

Engage a Tenant Rep for Lease Renewals Most experts agree that the services of a tenant rep during a potential lease renewal can be even more important to the tenant than the initial deal. Renewals are usually a difficult process for a number of reasons. Often landlords feel they have provided quality services and amenities during the initial lease term, and that an existing tenant should not require the services of a tenant rep for a renewal offered at ‘market rates.’ What landlords don’t want you to know is renewals ‘at market’ usually result in a huge windfall for them. A ‘market renewal’ rate means the landlord gets a rrate that is intended to cover the costs of constructing new space. However, landlords incur little or no construction expense for most renewals. A landlord may spend $50 per square foot to build out space for a new tenant. However, the same landlord may look to spend $5 per square foot in rehabbing an existing tenant’s space, yet still charge the tenant current market rate of $50 per square foot.

Tips & Tactics Helpful advice for making the most of this Guide

Make sure your tenant rep specializes in working with tenants ONLY. This will prevent any possible conflicts, and ensure your interests are represented, not the landlord’s.

Consider signing an exclusive agreement with your tenant rep, IF you are comfortable working with them, and there is a short-term out clause in the agreement. Signing an exclusive will show the landlord you are serious, and the tenant rep that you are committed to working with them.

Even if you are not planning on moving, always engage a tenant rep for lease renewals. Landlords regard renewals as a captive market, so there is less inherent leverage for the tenant. A renewal at ‘market rate’ without considering alternatives and re-negotiating is rarely if ever in your best interest.

Involve your tenant rep in issues that may arise after the lease has been signed. A tenant rep is more than a space finder, they can help you with disputes that may come about after the lease has been signed. If there are any doubts, have them perform a lease audit to ensure you are not being overcharged for expenses.

Hire a real estate attorney as well as a tenant rep. Your attorney has the legal skills and background to ensure the transaction is in order from a legal perspective. Your tenant rep has the specialized knowledge of space planning, market information, and lease negotiations. For a successful outcome, you need both of these professionals on your team.

Source: www.business.com

Cut Your Office Space Cost

The three biggest, most common and risky mistakes tenants make when renewing or renegotiating their lease are:

1. Not developing alternatives to the lease they are negotiating.

2. Leaving it too late to negotiate and/or move if necessary.

3. Trusting the landlord’s broker to negotiate a “good deal” for them.

Once a landlord believes the tenant is planning to stay, does not have time to move or is prepared to let the landlord’s broker represent them, all negotiating leverage is lost and the landlord is in control. So, even if you plan on renewing your lease, you must find alternatives to your existing lease to show the landlord you have other options and that he could lose you to a competitor. The easiest and most effective way to do this and regain control is to hire a tenant representation broker to represent you on your lease renewal. research other options and create the negotiating leverage and freedom for you to move if you choose to. Besides, your broker will do all the work and they simply share the landlord broker’s fee, which is paid in full whether you are represented or not!

We can potentially renew or renegotiate your commercial real estate lease at almost any time and create opportunities for you to benefit from substantially reduced occupancy costs, greater operational efficiency and flexibility to grow or downsize, as well and realigning your real estate with your business plan.

Below are just some of the benefits our expert negotiating skills have proven successful in achieving for our clients:

1. Expand or downsize your premises.

2. Reduce base rent and operating expenses.

3. Lock in fixed rents and operating expenses long term.

4. Reduce or remove security deposits, personal guarantees or letters of credit.

5. Eliminate operating expense pass through charges.

6. Secure landlord dollars to expand or improve your facilities or buy new equipment.

7. Revise obsolete or onerous leases and lease terms.

8. Secure favorable rights and options to expand, contract, purchase the building, extend or terminate your lease.

9. Resolve disputes between you and your landlord.

Landlords often discourage tenants from seeking tenant representation so they can negotiate higher rents and lease terms that are onerous to the tenant. The landlord’s broker may also discourage you from hiring your own broker so they don’t have to share their fee.

Furthermore, lease renewal terms offered to existing tenants are often less attractive as lease terms offered to new tenants. This is because landlords know that a tenant that doesn’t have a tenant representation broker to advise them on the most attractive lease terms achievable is more likely to accept the landlord’s terms and assume they are getting a “fair deal” and less likely to take advantage of more beneficial lease opportunities elsewhere. So while you may have a good relationship with your landlord and believe you are getting a great deal on your lease renewal, beware!

No matter how good you think your relationship is with your landlord, he is in the business of maximizing his profits by getting the most rent possible, period. Until you create competition for your tenancy and hire an experienced tenant representation broker, your landlord will consider you a captive tenant, willing to pay asking or above-market rents on your lease renewal or renegotiation.

Lease renewals and negotiations can be complicated and time consuming. There’s much more to negotiate than just the rent. And how do you know you’re getting the most attractive lease terms anyway? Parking charges, operating expense pass throughs and add-ons, security deposits, tenant improvement allowances and endless complicated and misleading lease terms and conditions, with far reaching financial and operational implications, are all up for negotiation. Only with the benefit of a tenant representation broker can you be guaranteed exposure to every opportunity and the negotiating power to secure the best terms available on your lease renewal or renegotiation.

Our proven lease renewal process provides you with the strategy, market knowledge and negotiating expertise to guarantee you access to every alternative option available in the marketplace and advise you on the most attractive lease terms achievable on a lease renewal or renegotiation. We firstly audit your lease to determine the options available for reducing your occupancy costs and building flexibility into your lease to achieve your business goals. We then create significant negotiating leverage with your landlord by identifying competitive alternative opportunities to secure the most cost-effective, risk-free lease terms possible on a lease renewal or renegotiation. We do all this in a professional manner that won’t damage your relationship with the landlord.

We also manage the entire process from start to finish so you don’t have to, saving you valuable time and money and exposure to risk while you focus on running your business

To learn more about how you can renew or renegotiate your office lease to significantly reduce your occupancy costs by up to 30% and solve your space problems, call Stefan Rogers at (949) 263 5362 for a free, no-obligation consultation.

“We started a process we called “just exploratory” to find out if there was a potential to find a larger and much nicer facility for our medical practice. Calling for the first time was a nice “non-stressful” or “non-pushy” phone call. VoitSpace was professional, cordial and I knew from the first call that they would work hard for us. From that point on, their patience, honesty and diligence was impeccable. Before we knew it, our building was built and we were moving in. We are absolutely thrilled with the results and are very grateful to VoitSpace for their work, effort, trust and caring nature to see this through.”

Lawrence Werlin M.D. | Coastal Fertility Medical Center

Click HERE to view a case study of the tenant representation services VoitSpace provided Coastal Fertility on its new medical office building lease or go to www.coastalfertility.com for information on our client.

Orange County Office Market Report

• Vacancy – Vacancies continued their downward trend in the first quarter. Direct / sublease space (unoccupied) finished the year at 13.35%, a substantial decrease from the previous year’s rate of 15.40% and significantly down from both the Great-Recession peak of nearly 18% in the second quarter of 2010 and the market high of 23% recorded in 1990. We are forecasting that vacancy will continue trending downward in 2013, ending the year around 12.5%.

• Steady Growth – The Orange County office market continued to convey signs of recovery, with almost 700,000 square feet of positive net absorption to start 2013, for a total of over 5.3 million square feet of positive absorption over 11 quarters. Vacancy and availability continued their downward trends, while lease rates appear to be finally icreasing. While these are positive indications, stability will need to be sustained in coming quarters to be considered recovery.

• Construction – The record year for new development was 1988, when 5.7 million square feet of new space was added and vacancy rates were approximately 24%. Total space under construction came in at just over 1 million square feet for the first quarter of 2013; the most notable projects were two build-to-suit projects: Hyundai in Fountain Valley (469,000 square feet) and PIMCO at Fashion Island in Newport Beach (479,800 square feet).

• Availability – High-end space captured recent gains in occupancy. Direct / sublease space being marketed was at 18.04% at the end of the first quarter of 2013 — a decrease of over 5% when compared to 2012’s first quarter rate of 19% and almost a full percent lower than 2012’s fourth quarter rate of 18.99%.

• Lease Rates – The average asking full-service gross (FSG) lease rate per month per square foot in the Orange County office market was $1.88 at the end of the quarter- a 2.08% decrease from the previous year’s rate of $1.92 but the same as 2012’s fourth quarter rate, hopefully, indicating a bottom in the downward trend of asking lease rates. The record-high rate of $2.77 was established in the fourth quarter of 2008. Class A asking rates for the county averaged $2.09 FSG — the highest being in the North County submarket where Class A rates averaged $2.18 FSG. We are forecasting that rates will begin to increase in 2013.

• Absorption – The Orange County office market posted almost 700,000 square feet of positive absorption this quarter, all of which was in class B buildings, giving the market a total of over 2.4 million square feet of positive absorption over the past four quarters. Alone, Class B space had over 770,000 square feet of positive absorption in the first quarter. Look for research-oriented businesses — IT, defense, medical and alternative energy companies — to lead the charge of positive absorption over the next few years.

• Transaction Activity – Leasing activity checked in at 2.6 million square feet in the first quarter of 2013, a decrease from the 2.8 million square feet we saw in the first quarter of 2012. Sales activity was up a bit, posting 290,000 square feet of activity in the first quarter of 2013 compared to 2012’s first quarter figure of 230,000 square feet. Details of the largest transactions for the quarter can be found on the back page of this report.

• Employment – The unemployment rate in Orange County was 6.5% in February 2013 — down from a revised 7.1% in January 2013 and below the previous year’s estimate of 8.1%. This compares with an unadjusted unemployment rate of 9.7% for California and 8.1% for the nation during the same period. According to the State of California Employment Development Department, Orange County saw a net increase of 35,200 payroll jobs from November 2011 to November 2012. The largest gains were 9,700 in professional & business services and 8,200 in leisure & hospitality; however, Orange County lost 600 government jobs during that same period.

• Overall – We are beginning to see a decrease in the amount of vacant and available space. As we progress into 2013, positive absorption should continue, and with few new deliveries in the pipeline to apply upward pressure on vacancy, the market will continue to stabilize. We foresee an overall increase in investment activity in the coming quarters. Lease rates have begun to firm up, and we expect them to increase in 2013. We should also see an increase in leasing activity as many short-term deals come up for renewal. As job creation continues and consumer confidence stabilizes, the office market will continue to recover.

View Voit’s Real Estate Reports or contact Stefan Rogers at 949.263.5362 / srogers@voitco.com for specific commercial real estate data or a survey of available office space in your area.

“PJHM Architects utilized VoitSpace’s tenant representation services for their corporate office relocation. After over 35 years in the same location, the company had grown beyond the constraints of the existing office building. VoitSpace was patient and professional in assisting us understand the different potential areas to relocate and the vast types of office product available in Orange County and all the pro’s and con’s that come with office relocation. VoitSpace’s assistance in guiding our firm’s decision on the exact location and office complex to relocate to, and the negotiating expertise demonstrated during our lease negotiation, was invaluable. Included in our lease was abated rent, tenant improvement allowances and a moving expense allowance. PJHM Architects highly recommends VoitSpace to represent you with your corporate real estate needs.”

Kenneth Podany | PJHM Architects

Click HERE to view a case study of the tenant representation services VoitSpace provided PJHM Architects on its new office space lease or go to www.pjhm.com for information on our client.

Along with a sub-fair market value lease rate, VoitSpace negotiated substantial concessions consisting of seven months free rent, moving allowances, free covered parking and a turn-key tenant improvement package. Voit project managed the entire lease process for Synergy.

“This lease is a perfect example of how to take advantage of what is still an opportunistic market for office tenants looking to upgrade their space and cut occupancy costs in Orange County.” according to Brad Schneider of VoitSpace, who represented Synergy.

Click HERE to view a case study of the tenant representation services VoitSpace provided Synergy on their new office space lease or go to www.synergyinc.org for information on our client.