Office Building Classification

By Seth Lane, Director

If you have spent some time looking for office space to lease or purchase you have certainly come across properties being advertised as Class A, Class B, or Class C office space. While this nomenclature is common, many people do know what such a classification really means. There is no industry standard or universally accepted set of measures used to classify an office property. Often, the classification is the opinion of the property owner or listing broker. While general parameters exist, classifying properties  is still a subjective process based on market, property owner, and even the property's listing broker. So how do you really know what property class you are dealing with? Here are a few rules of thumb to help you understand the classes of office properties.

Class A

Class A office space is generally considered to be NEW or in Like New condition. The property is well constructed using high-quality materials. The interior of the space should have a contemporary look and feel as well as modern conveniences (necessities really) such as easy access to high-speed communications. A Class A classification can also be predicated on location. Between condition of the building and the property location, Class A space typically commands the highest rental rates in the market. 

Class B

Class B space should be in good condition with little need for major renovations or updates. When compared to Class A properties, Class B properties are typically a bit older, may have less amenities or upgrades, or may be in a location with a slightly lower demand. Class B space is easily rented but commands a lower rental rate than its Class A counterpart. 

Class C

Class C space is typically characterized as being in need of significant interior or exterior updating or as having some sort of functional obsolescence. This may include a site plan configuration that is no longer in demand or having interior infrastructure that does not support modern technology. Like  the other classifications, a poor or undesirable location may cause a property to be labeled as Class C space.

As you look for office space to rent or purchase, make you own determination as to the quality of the space being shown. Advertisements may not always provide an accurate portrayal of what is actually being offered. 

If you are looking for Gainesville Office Space and would like some professional guidance, please give us a call. We specialize in Gainesville Commercial Real Estate and provide professional buyer's representation and tenant representation services. 

 

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Virginia MacKoul

Virginia is a graduate from the University of Florida's College of Design Construction and Planning with a degree in Sustainability and the Built Environment, and a minor in Urban Regional Planning. Virginia joined the Front Street team in 2011, as an intern. Upon graduation, Virginia joined the Front Street team full-time as the Director of Client Services. Ms. MacKoul’s addition furthers Front Street’s continued growth and expansion within Gainesville and other North Central Florida markets. She was promoted to Director of Marketing in 2014 and now manages the firm’s team of interns and oversees all marketing and branding activity. Virginia was born in Boston and moved to Lee County, Florida in 1997. Virginia graduated her high school's International Baccalaureate program and started at the University of Florida with a focus on Architecture. Virginia shares Front Street's passion of giving back to the community and those in need. Virginia's hobbies include photography, cooking, football, movies, music, and spending time with her dog, Brinkley.