There are many common misconceptions that leads business owners to dismiss the idea of remodeling their office space. It is generally accepted that commercial remodeling is a major head ache with the continual work interruptions and the high cost of renovation. There indeed can be temporary interruptions to work flow but a well thought through commercial remodeling plan can minimize the impact on work productivity through staged phases of construction improvements. The cost of remodeling is always an important factor in acceptance of the owners consideration. We will discuss 9 benefits that need to be considered when evaluating your commercial remodeling needs.
Provides a Fresh Business Profile to Clients
Nothing impacts visiting clients more than a well designed and freshly remodeled office space. A newly remodeled commercial facility sends your clients a message that you care about the details of your business. Your customers will think of your firm as being more professional because of your new business surroundings, which translates into the perception of caring more about their needs.
A commercial renovation excites your visiting clients. They feel something special during their visit more than they would in an outdated office space. An inviting office will help relax your clients and put them at ease when doing business. If they feel relaxed with your companies surroundings, your group will stand a better opportunity in converting sales opportunities.
Creates Pride in Office Employees
Your employees will genuinely appreciate a new office. They will feel a sense of pride in being associated with a company that have professionally remodeled offices. A new break room can start a new sense of team work and comradery amongst employees. A well appointed new board room can increase the energy of executives and lead to many new ideas. This sense of pride will often energize your team to increase productivity and add to increasing employee recruiting.
Better Organization and Function of the Office Space
One of the greatest benefits of a commercial renovation is that the design team can vastly improve the organization and function of the office space. They can position departments and office equipment in more strategic locations and make the much needed space adjustments to assist in increasing efficiency. The localizing specific departments in proximity can result in greater results from direct teamwork. It is commonly understood that the location of collaborating departments can have a major impact on the company’s overall success.
Planning and designing any commercial remodeling project needs to be modeled to the way employees work and collaborate. If your firm operates with sensitive information and a large number of one on one meetings, a traditional private office structure would be ideal. If your employees operate by jointly sharing immediate information and data, an open cubicle setting would be appropriate.
Thinking through how your employees are currently using the entire office space is a good starting point in evaluating future remodeling design plans. Evaluating the entire space including restrooms, storage rooms and receptions areas are critical to include in a global approach toward a comprehensive new space plan.
Higher Employee Productive Efficiency
The cost of the commercial remodeling will often be offset in greater employee productivity. This is brought on through the increased efficiency of a good work flow and the excitement of working in a newly remodeled office space. The increases in work flow brought on by the concentrated locations allows the rapid exchange of resources. While the new surrounding energize your teams to perform at a higher than normal level.
Increased Property Values
A very obvious advantage to a commercial renovation is that you will be increasing the value of the property. This remains true for both tenant lease facilities and owner facilities. In most cases the more substantial remodeling improvements you can make the greater they will reflect in future resale value. That goes for interior improvements as well as replacement component products such as roofs and HVAC equipment.
The value of a commercial property will need increase in value proportionate to the remodeling expenditures within the first couple of years, but will often pay for themselves over a 5 year period. Commercial property is often valued by its income producing potential. By undergoing a commercial renovation, the owner will be justified in increasing rents and ultimately income cash flow.
Increase Energy Efficiency
As with a well developed commercial renovation the owner will also experience cost savings produced by the use of higher energy efficient products. These types of products include cool roofs, LED & T1 fluorescent fixtures and spray foam insulations. Commercial construction does not have a reputation for using green sustainable products in the past. When the owner has an opportunity to replace products that can impact energy cost savings, these improvements can often pay for themselves and should be given special deliberation.
There have been substantial advances in commercial building envelope energy sustainability. Product advances such as exterior glazing systems, cool roofs and foam spray insulation processes have helped minimize energy consumption cased by air infiltration.
Attract New Employees
It is worth mentioning that a well designed commercial renovation can inspire and attract new employees when recruiting. New fresh interior surroundings are important to how an employee feels about a company. Interior finishes continue to be a high priority to the younger generations of the work force.
A commercial remodeling project can help establish the company culture through both the dedicated space for work stations but also the common gathering areas. This is visually apparent to new visiting prospective employees as they tour the company facilities.
More Cost Effective Then New Construction
With older buildings there comes a point where the owner needs more space and the building requires substantial improvements. These situations warrant the evaluation of a new office building construction. The new construction cost should then be compared to a commercial renovation project to determine the best overall outcome for the owners interest.
Some of the benefits of a commercial remodeling project are that they are usually more cost effective then new construction. In addition a commercial renovation is much less time to execute then new construction. When comparing new commercial construction to commercial renovations the design team should also consider the future growth plans. Can the existing property accommodate the required business expansion plans.
Tax deductions may not be a foremost importance to the owner when finalizing commercial renovation plans, but is an important consideration on the return on investment equation. In most cases interior improvements can be rapidly depreciated to give net income a sizeable boast. Through cost recovery accounting depreciation can be amortized or accelerated to meet the tax strategies of the firms income goals.
There are many justifiable reasons for owners to consider a commercial renovation project. Incorporating all these benefits into the decision making equation will assist the owner a collective and well informed conclusion.