Austin Tenant Advisors

office buildings for rent downtown austin If you are a startup or new business have you ever been told by a landlord that they did not want to lease you commercial space? You may have gotten offended and been left wondering why they would not lease to you because the space you like has been sitting on the market for 6 months. Doesn’t the landlord want to make money? Of course they do however they know that startups and first time business owners are risky as the failure rate of new businesses is over 45%. As a startup business the cards will be against you in the beginning. Landlords will be hesitant to lease you commercial space and/or give you a tenant improvement allowance if they think you are a risk.

If you want landlords to take you seriously you have to be prepared and show them how much you know your business and numbers. At the end of the day they want to make sure that you will be able to make enough money to pay the rent. Below are a few reasons why landlords won’t lease you commercial space and what you can do to change that.

You Don’t Have Enough Years of Operational Experience

You may have worked for a company for the last 15 years and have a ton of experience running a sales team however that does not give a landlord the confidence that you are capable of starting and running a business. If you want to build the landlords confidence that you will pay rent and be around for the duration of the lease term then talk about your operational experience. Talk about (embellish) your sales and marketing experience from an operational perspective. If you don’t have much experience in operations then read a few books to brush up on terminology and best practices. You have to get creative here.

You Don’t Have a Business Plan

You don’t need a full blown business plan in every situation, however you need to know your industry and numbers. The landlord wants to understand your business, your target demographic, initial and future financial projections, operations, marketing plan, etc. If you are a startup knowing your market, competition, strategy, challenges, etc is so important. The more you know the business the more comfortable the landlord will fee about your tenancy. Making a first impression is key. At the end of the day the landlord just wants to make sure that you will be able to pay the rent each month. Your proforma needs to support that.

Not Enough Cash on Hand

When leasing commercial real estate you are going to have a lot of up front costs.

At lease signing you will have to write a check for the security deposit and first months rent.
Then if the space is not built out the way you want you will have to spend money on tenant improvements.
Once up and running you will need to purchase inventory and hire people
You will have ongoing electric and other monthly bills.
Signage needed if leasing retail space
Insurance for general liability and property
Etc.

The landlord knows that you will incur all of these expenses up front. If you tell the landlord that all you have in the bank is $5,000 they will not want you as a tenant. You need to get your financials in order before speaking with landlords or they will not take you seriously. If you are relying on an SBA loan make sure to have that secured beforehand as well. The more funding you have on hand the more leverage you will have in the commercial lease negotiations.

We Want Landlords to Compete For Your Tenancy

Here at Austin Tenant Advisors we strive to provide you the best consulting when it comes to leasing and buying commercial real estate. Our goal is to educate and advise you on market conditions so that you may make the best decisions possible. We believe full transparency and insight leads to better set expectations and communication.

We have been through the process over 400 times so when consulting you about commercial real we also put on our business hat to advise you on what to prepare before we start negotiations with landlords. If you want them to take you seriously you have to get your stuff together and know your business inside and out.

PLACEmaking thanks for following me on Twitter! https://t.co/TD9XVx8OV9

PLACEmaking thanks for following me on Twitter! https://t.co/TD9XVx8OV9
— Nathan K Smith (@AustinTenantAdv) August 2, 2018

from Twitter https://twitter.com/AustinTenantAdv

Wednesday, August 1, 2018

Tallest Buildings in Austin Texas

The history of Austin skyscrapers started with the construction of the original office tower the Scarbrough Building built in 1910. Located at 522 Congress Avenue it still stands in the epicenter of downtown Austin, Tx. Since then downtown Austin has gone through a skyscraper boom between 1970 and 1980, and since 2007 the city has been going through a 2nd skyscraper building boom.

List of the Tallest Buildings in Austin, Tx

Name	Height in Feet	Floors	Year Built	Purpose
The Independent	688	58	2019	Residential
The Austonian	683	56	2010	Residential
Fairmont Austin	595	37	2018	Hotel
360 Condominiums	581	44	2008	Residential
Frost Bank Tower	515	33	2004	Office Building
W Austin Hotel & Residences	478	37	2010	Hotel / Residential
Spring	434	42	2009	Residential
The Northshore	424	38	2016	Residential
The Bowie	423	37	2015	Residential
The Ashton	416	37	2009	Residential
JW Marriott Hotel	408	32	2015	Hotel
Four Seasons Residences	401	32	2010	Residential
One American Center	401	32	1984	Office Building
500 West 2nd St	400	28	2017	Office Building
One Eleven	397	30	1987	Office Building
Colorado Tower	397	29	2014	Office Building
Hilton Austin Hotel	377	31	2014	Hotel / Residential
Seaholm Residences	341	30	2016	Residential
Legacy at Town Lake	339	31	2008	Residential
Bank of America Center	336	26	1975	Office Building
Aloft & Element	328	31	2017	Hotel
300 West 6th	328	23	2002	Office Building
100 Congress	328	22	1987	Office Building
San Jacinto Center	324	20	1987	Office Building
The Monarch	323	29	2008	Residential
Chase Bank Tower	322	21	1974	Office Building
Texas State Capitol	311	4	1888	Office Building
UT Main Building	307	29	1937	Office Building
Dobie Center	307	29	1972	Residential
301 Congress	306	22	1986	Office Building
Skyhouse	264	23	2014	Residential

New Tallest Building in Austin

The newest tallest building planned for Austin nicknamed the will be located at 600 Guadalupe St in downtown Austin and is expected to be 850 feet high. San Antonio based developer, Lynd Development Partners and Lincoln Property Co are partnering on the proposed skyscraper.

The plan is for it to be 62 stories high, possibly up 75 stories.

Photos of Tall Buildings in Downtown Austin

Frost Bank Tower downtown austin

Frost Bank Tower

downtown austin office building

What is the Definition of Cross Docking?

cross docking distribution terminal Cross-docking is a freight logistics practice of unloading goods from an incoming transport vehicle (e.g. 18 wheeler trailer, truck, rail car, etc) onto a distribution docking terminal and loading them directly onto another outbound transport vehicle with no warehousing or storage in between.

This may be done to sort products intended for a variety of destinations or consolidate products coming from different origins for shipment to similar destinations. Cross-docking is also referred to as “hub and spoke”.

Who Should Consider Cross Docking?

Companies that don’t want to have to manage and rent industrial space themselves
Those wanting a central location for materials to be sorted and similar goods combined to deliver to multiple locations as quickly as possible.
Companies wanting to getting hot products to customers more quickly
If your products are already tagged, bar coded and ready for retail sale
Those needing to break down (deconsolidate) large pallets into smaller ones for easier delivery to customers in different locations
Those needing to consolidate smaller shipments into larger ones for delivery to the same locations to save on transportation costs.

Advantages of Cross-Docking

Supply chain is more stream lined from point of origin to point of sale
Lower inventory handling means lower labor costs
Storage times are reduced thus a reduction in inventory holding costs
Materials will reach the distributor and customer much faster
You won’t need to rent and manage as much warehouse space or not at all
Less inventory handling means less risk of damaged goods
Can combine smaller shipments into one larger shipment and save on transportation costs
Large shipments can be broken down to smaller lots to make it easier for delivery
By avoiding renting your own warehouse you eliminate the need for staff, security, warehousing fees, and pallets
You can reduce your labor costs
Better for the environment as fewer overall resources are needed
Can more quickly transport unpreserved or temperature controlled products such as food

Disadvantages of Cross Docking

Need to have adequate transport vehicles
May need a computerized logistics system
More inventory handling can lead to higher product damages
Some partners may not have cross docking options
Continuous communication is key between distribution centers, suppliers, points of sale

When you run a business it can be hard to decide on how to allocate your resources. If you don’t have the resources, time, or money to invest in renting warehouse space for your company then consider cross docking. One of the best ways to free up your time and resources, and cut costs is to implement a cross docking solution. Also a supply chain that is faster and more productive is an important factor to remain competitive.

Cross-docking will take extensive planning, communication, and cooperation with partners for it to work properly, however done correctly you will see significant improvements in handling times and efficiency.

Austin Tenant Advisors

Wednesday, August 8, 2018

Adriana Girdler, PMP thanks for following me on Twitter! https://t.co/qMrFqRuBCb

Monday, August 6, 2018

SEMBEE IT Solution thanks for following me on Twitter! https://t.co/3U6yVO67Lg

Saturday, August 4, 2018

Credit Repair Cos thanks for following me on Twitter! https://t.co/L2cjlxpC6K

Thursday, August 2, 2018

3 Reasons Why Landlords Won’t Lease You Commercial Real Estate