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OFFICE SPACE for LEASE in NEW PORT RICHEY FLORIDA, on LITTLE
ROAD in West Pasco County
When an
office
Lease or rental agreement is prepared for your business facility, it
is necessary that those involved
parties have a common working familiarity with the some of the following common
Lease terms,
Lease clauses and provisions that are found in commercial Leases and
in
commercial rental agreements. The following Lease terms and rental terms
do not necessarily apply specifically to Barrister West, rather to
office leasing and to office rental in general.
Absolute Net Lease
- A type of commercial property Lease which requires the Tenant to
absorb all costs of maintenance and operation of the property,
including capital expenditures and major repairs. Typically, an
Absolute Net Lease is utilized where the Tenant is the sole (100%)
occupant of the leased building. See Lease and Net Lease.
Additional Rent -
Refers to cost factors such as after-hours HVAC and "non base"
rent items.
Allowed Items - Expenses, as
defined in a Lease and/or annual statement, contains items for which
Tenants are not obligated to pay, as well as items that could be
interpreted either as operating expenses or another type of expense,
for instance a capital expenditure, or an expense unrelated to the
operation of the building. These items must be defined in the Lease.
See Disallowed Items.
Amortization -
The process of paying off a debt together with interest, usually
with equal payments at regular intervals over a period of time. For
example, $12.00 per square foot of improvements at 10%
interest, with monthly payments amortized over a 60-month Lease term =
$00.225/square foot.
Appraisal - An estimate of quantity,
quality or value. The process through which conclusions of property
value are obtained; also refers to the report setting forth the
estimate and conclusion of value.
Approaches to Value - Used by an
appraiser to estimate the value of real estate. The three approaches
are: cost approach, income approach and market data approach.
Area - Measurement of the area
to be leased is a key component of every Lease document. Following are
the two prevailing standard terms, defined.
| Rentable Area / Rentable Square
Feet - The generally accepted means of measuring space within an
office building. According to the BOMA standard, measurement from the
inside of the outside walls, in new buildings from the glass
line, to the outside of the inside wall, or hall wall, and center to
center on any division walls. Columns are included. Usable Square Feet -
Any area in a given floor that could be used by the Tenant. This
area includes a point from the perimeter glass line to demising
walls. This area also includes column areas within such a space. In a
single-occupant building, the rentable and usable square foot
calculations may be the same. |
Assessed Value - The value placed on
land, buildings and sometimes contents, by a municipality or county
tax assessor for use in levying annual real estate taxes.
Assignment - The transfer in writing
of an interest in a Lease, mortgage or other instrument. The assignor,
or lessee, transfers the entire remainder of the term created by the
Lease, and the assignee becomes liable to the original Lessor for
rent. Assignor may or may not retain secondary liability for
performance under the Lease, depending upon the terms of the Lease
pertaining to assignment.
Bandwidth - A measurement of
amount of information that can flow to (from) a certain point on the
internet, often categorized as either T1 or T3 to indicate the
potential amount of data that can flow to and from that point. The
broader the bandwidth, the faster the connection.
Base Lease - An attribute of a
Lease
contract stating the minimum established requirements that are
applicable to all Tenants.
Base Year - The year of a
Lease term
that is used as the benchmark standard when implementing an escalator
clause. Operating costs are judged higher or lower during the next
year when compared to the base year. The Base Year is most often used
when calculating an operating expense Pass-through.
Bay - An unfinished area or space
between a row of columns and the bearing wall. Usually the smallest
area into which a building floor can be partitioned.
Base Rent - The specified
rental to be paid in a Lease before escalation, adjustment or
additional rent charges. Base rent can be adjusted on a periodic
basis, by negotiation. Often a Tenant will have an obligation to pay
various costs of utilities and/or property maintenance costs which may
be designated as "additional rent," payable over and above "base
rent." The term "base rent" is often a defined term in a particular
Lease, in which case the definition as specified will control the
precise meaning of the term in that particular document.
Base Rent Escalation -
A provision in a Lease Contract which calls for an increase in price
in the defined, initial Base Rent in the event of an increase in
certain defined costs. For example, an
escalation clause may specify that rent due will increase with
inflation or property taxes.
Base Year - A specific, pre-defined
year delineated in Lease document, against which certain rent escalations and additional
expense reimbursements to the Landlord may be calculated
Block Layout -
A preliminary method of roughly laying out a Tenant's internal
office requirements. Gives an initial feel of the space prior to
preparing a more detailed layout.
BOMA -
Building Owners and Managers Association.
BOMA Standard -
A published standard for measuring office space.
Building Classes - Buildings are often classified as follows:
Class A Office Building - A newly built, prestigious building competing for premier
office users, with above-average rental rates for the area, having
a high-quality standard of finishes, state of the art systems,
exceptional accessibility and a definite market presence as well as on-site amenities that may
include on-site property management, exceptional telecommunication
capabilities, high-efficiency internal mechanical systems, electronic energy management,
advanced safety and security systems, etc.
Class B" Office Building A relatively new property with some, but not all, of
the amenities of a Class A property.
Class C Office Building - Typically an older properties with few of the amenities listed above.
Often located in
less desirable areas.
Class D Office Building Entry-level spaces
requiring little credit verification, etc. Highly transient. Less
desirable for client visits and presentation. |
Building Core -
The section of the building where the common service areas, public
restrooms, ventilation, electrical distribution, elevator shafts,
and stairwells are located.
Building Shell -
Most often refers to a partially completed building having completed
roof, walls, foundation, and other pre-defined attributes. This may
or may not include such as restrooms and HVAC.
Building
Standard - A defined specification, delineated by the building
Owner, detailing such attributes as the brand name, type, quality, and color selection available
for carpet, paint, light fixtures, wall coverings, and other
finishes.
Build-out -
The completed or to-be completed, pre-defined interior construction of
a Tenant's space, whether new construction or the reconfiguration of
an existing space.
Build-to-suit
- An agreement between a Landlord and a
Tenant whereby the Landlord assumes the obligation of bringing the
Leased space up to the Tenant's defined and agreed to specification
within the constraints of prevailing building standards.
CAM / Common Area Maintenance
- Quantification of operating expenses incurred by a Landlord to
maintain the common areas. CAM charges, as referred to, may be
recovered from Tenants, most often on a per-square foot pro-rata basis
and/or included in Base Rent, as defined in the Lease document. See
Common Area Maintenance.
Cancellation Clause - A provision in
a Lease that confers upon one or both of the parties to the Lease the
right to terminate the Lease upon the occurrence of the condition or
contingency set forth in the said clause.
Capitalization - The process of
ascertaining the value of a property by the use of a proper investment
rate of return and the net income expected to be produced by the
property. The formula of net annual income divided by proper
capitalization rate is expressed: Income/Rate=Value.
Cap Rate - A standard formula to define value of
commercial real estate, where net operating income (NOI) divided by
the sales price equals the cap rate (capitalization rate).
Cash Flow - The net operating income
of a property minus its debt service.
Cash-on-Cash Return - A Percentage
figure arrived at by dividing the cash flow from a property by the
total investment in the property and multiplying by 100. Also call
Cash yield.
Category 5 Wire - A standard wiring specification defining
unshielded twisted pair with 100 ohm impedance and electrical
characteristics supporting transmission at frequencies up to 100
MHz. May be used with 10Base-T, 100Base-T4, 100Base-T2, and
100Base-TX Ethernet. May support 1000Base-T, but cable should be
tested. Cat 5 is obsolete and has been superseded by Cat 5e wire.
Category 5e Wire - A standard wiring specification defining
"Enhanced Cat 5" which exceeds Cat 5 performance. Similar to Cat 5,
5e having improved technical specifications. May be used for 10Base-T, 100Base-T4, 100Base-T2,
100BaseTX and 1000Base-T Ethernet. This is considered the minimum
acceptable wiring grade.
Category 6 Wire - As of June 2002, Cat 6 has become the
recommended wiring standard. Cat 6 doubles the potential Cat 5
bandwidth. Cat 6 is backward compatible with lower wiring grades and
supports the same Ethernet standards as Cat 5e wire.
CCIM /
Certified Commercial Investment Member - An international
professional designation requiring special
education for investment sales, commercial leasing, development, corporate
strategic planning, etc.
Ceiling Plenum -
A totally enclosed area above the ceiling used for the
distribution of conditioned air, or return air, of the air conditioning system.
The alternative is a
fully-ducted supply and return air system.
Certificate of Insurance - A
certificate issued by an insurance company or its agent verifying
that a certain insurance policy is in effect for stated times, amounts
and coverages, naming all of the insured.
Commencement Date - The first day of the defined term of a
Lease.
Common Areas - Areas used by two or
more Tenants and/or third parties which are not under the control of
any one Tenant.
Common Area Maintenance -
Quantification of operating expenses incurred by a Landlord to
maintain the common areas. CAM charges, as referred to, may be
recovered from Tenants, most often on a per-square foot pro-rata basis
and/or included in Base Rent, as defined in the Lease document. See
CAM.
Construction Allowance - The amount
of money which a Landlord contributes to the cost of construction
and/or alteration necessary to prepare a space for a Tenant's
occupancy. This is most often a pre-defined, negotiated amount.
Construction Cost - The total
expense, plus normal overhead and profit, which must be paid for the
job, construction and/or demolition, in question.
Constructive Notice - Notice given to
the world by the recording of documents with a public official and/or
entity. All persons are charged with knowledge of such documents and
their contents, whether or not they have actually examined them.
Contracting Officer - Any person with the contract-defined
authority to enter into, administer, and/or terminate contracts and/or
make related determinations and findings. This designation may include
certain contract-defined, authorized representatives of the
Contracting Officer, acting within the limits of their authority as
delegated by the Contracting Officer and defined in the Lease
documents.
CPI / Consumer
Price Index - A government published standard defining the rise
and lowering of the costs of a defined set of consumer goods, over
time, often used to index rental rate escalations.
CPM /
Certified Property Manager - Professional designation conferred by
Institute of Real Estate Management, requiring defined specialized
education and experience.
Default - The
failure to meet a contract obligation, such as timely rent payment,
use of premises, etc. Also used in reference to mortgages and other
debt obligations.
Delivery Date - The contract-defined date specified in or
determined pursuant to the provisions of the Lease document for
delivery of the premises to the Tenant, improved in accordance with
the provisions of the Lease and substantially complete, as may be
modified in accordance with the provisions of the Lease document.
Delivery Time - The number of days provided by a Lease
document for delivery of the premises to the Tenant, as may be
modified in accordance with the Lease provisions.
Disallowed Items - Expenses,
as defined in a Lease and/or annual statement, contains items for
which Tenants are not obligated to pay, as well as items that could be
interpreted either as operating expenses or another type of expense,
for instance a capital expenditure, or an expense unrelated to the
operation of the building. These items must be defined in the Lease.
See Allowed Items.
Effective Gross Income - The scheduled
gross income of a property minus the vacancy rate.
Egress - The right to leave a tract of
land. Often used in connection with access.
Eminent Domain - The right of a
government or sometimes a municipal quasi-public body to acquire private
property for public use. Acquired through a court action and
condemnation, in which the court determines the use is to the public
benefit, often
deciding the price or compensation to be paid to the Owner.
EMS / Energy
Management System - A computerized system designed to minimize the
cost of operation of HVAC systems, while maintaining temperature and
comfort other parameters. EMS may include integration of HVAC,
shading, electrical, and lighting systems.
Encroachment - A building or some
portion of it, or a wall or fence, that extends beyond the land of
the Owner and illegally intrudes upon land of an adjoining Owner, a
street or an alley.
Encumbrance - Any lien, mortgage,
tax, judgment, easement or restriction on the use of the land or an
outstanding dower right that may diminish the value or use of the
property.
Equity - The interest or value in
real estate over and above the mortgage against it.
Escalation Clause - A contract
clause providing for scheduled increases or decreases in rent
payments in accordance with fluctuations of certain defined costs or
expenses.
Escrow - A written agreement
between two or more parties providing that certain instruments or
property be placed with a third party to be delivered to a
designated person upon the fulfillment or performance of some act or
condition.
Estoppel -
Typically a form or letter which is signed verifying dates, Lease
terms, rental amount and security deposit, as well as validity and
enforceability of applicable Documents. It should cover outstanding
issues which might be important to a lender, buyer or Tenant.
Usually used when a property is being refinanced or sold.
Eviction - The forced removal, by
legal means, of a Tenant from the leased premise.
Excusable Delays - Delays arising without the fault or
negligence of Lessor and Lessor's subcontractors and suppliers at
any tier, most often including:
(a) acts of God,
(b) acts of the United States of America in either its
sovereign or contractual capacity,
(c) acts of another contractor in the performance of a
contract with the Government,
(d) acts definable as related to, or caused by terrorism,
(e) fires,
(f) floods,
(g) epidemics,
(h) quarantine restrictions,
(i) strikes,
(j) freight embargoes,
(k) unusually severe weather, or
(l) delays by subcontractors or suppliers arising from
unforeseeable causes beyond the control and without fault or
negligence of both the Lessor and subcontractor or supplier. |
Expense Ratio - The percentage of
gross income that is consumed by operating expenses.
Expense Recovery - A
reimbursement by the Tenant to the Landlord for expenses of a
property which are originally paid by the Landlord. The calculation
for the Expense Recovery depends on the Lease type, Gross Lease or a
Net Lease. See Pass-through.
Fully Serviced
Lease / Full Serve Lease - A type of Lease whereby Landlord
pays, as part of the base rental rate, such pre-defined things as
utilities, sewer, water, garbage, landscaping, property taxes, and
insurance, janitorial, and maintenance. This list varies by
negotiation.
Graduated Lease - A Lease that
provides for specific increases or decreases in rent at definite times
during the term of the Lease.
Grantee - A person or entity to whom
an interest is conveyed by deed, grant or other written instrument or
contract.
Grantor - A person or entity
transferring their interest in defined space or land to another by a
written instrument or contract.
Gross Lease - A Lease of property or
space whereby the Lessor is to pay all charges regularly incurred
through ownership (see Lease). The Gross Lease does not require the
Tenant to reimburse the Landlord for any of the expenses that the
Landlord might incur in operation of the premises. Under a Gross
Lease, the Tenant pays a base rent and the Landlord absorbs all costs
for common area maintenance (CAM), real property taxes, Landlord's
insurance, and other charges associated with the operation and
maintenance of the Property.
Gross Rent Multiplier - A figure that
produces an estimate of the property's value when used as a multiplier
of the gross income of a property.
Gross Square Foot / Gross Square
Feet -
A pre-defined definition of the total building square footage,
including common areas such as, elevator shafts, all vertical
penetrations, equipment areas, ductwork shafts, and stairwells.
Gross-up -
When used, applies to a full service Lease where, in the situation
of the building being less than 90% or 95% occupied, the expenses
are still calculated for the Tenants pro-rata share of operating
expenses.
Holdover - Usually 125-150% of the preceding month's rent.
Some Leases may provide for 200-300%; applies to the
month-to-month tenancy at the end of the Lease term and being
over-market is a partial motivation for the Tenant to renew, or move
out timely so the replacement Tenant can move in.
Hot Building / Lit-up Building -
An office facility fully served with Wi-Fi and other
internet-related services.
HVAC -
Heating, Ventilating, and Air Conditioning.
IREM /
Institute of Real Estate Management - An association of asset and property managers. IREM offers
extensive education programs, conferences, and networking.
ISDN / Integrated Services Digital Network
- An outdated standard defining high-speed data and media
communication system, as much as ten or more times faster than
common phone lines.
Lease - Commercial Leases,
generally, can be classified into four categories: Gross Lease,
Modified Gross Lease, Triple Net Lease, and Absolute Net Lease.
Following is a brief summary.
| A Gross Lease does not
require the Tenant to reimburse the Landlord for any of the
expenses that the Landlord might incur in operation of the
premises. Under a Gross Lease, the Tenant pays a base rent and
the Landlord absorbs all costs for common area maintenance
(CAM), real property taxes, Landlord's insurance, and other
charges associated with the operation and maintenance of the
Property.
A Modified Gross Lease
typically requires the Tenant to reimburse the Landlord for
Pass-through costs over a stated expense base or base year. For
example, the Tenant may be required to reimburse the Landlord
for all CAM over a stated set amount per square foot, or
alternatively, the Tenant may be required to reimburse the
Landlord for all CAM in excess of a stated base year.
The most common type of commercial
Lease is the Triple Net Lease, which requires the Tenant
to reimburse the Landlord for such pre-defined applicable items
as, CAM, applicable real estate taxes, and Landlord's
property-related insurance. The Pass-through costs most often
included in a Triple Net Lease can vary, and can include
additional items other than CAM, taxes, and insurance.
In some circumstances, a
Property may carry a Net Lease or Absolute Net Lease,
which requires the Tenant to absorb all costs of maintenance and
operation of the property, including capital expenditures and
major repairs. Typically, an Absolute Net Lease is utilized
where the Tenant is the sole (100%) occupant of the leased
building. |
Lease Term - A pre-defined, fixed,
non-cancelable period for which a Lease agreement, for a given space,
is in force. Also referred to as Lease Period or Lease Tenure.
Lessee -
The person or entity who contracts to rent property
under a contract-specified lease. Lessee = Tenant. Lessor = Owner.
Lessor - The person or entity who conveys
contract-specified property to another for a contract-defined period
of time in return for the receipt of rent/compensation. Lessor =
Owner. Lessee = Tenant
Live Load - A measurement defining the
weight per square foot to which a given floor area of a building is,
or may be, subjected.
Typical common office live-loads may be in the 50-70 pounds per square foot
range. Class-A office floor decks may bear an increased live load.
Load Factor -
The calculation of common area used to convert usable square foot
measurements (physical space actually occupied by the
Tenant) to rentable square feet. This calculation most often includes a pro-rata share of
elevator shafts, ventilation areas, stairwells, restrooms, lobby, and common
interior hallways.
Modified Gross Lease - A type
of Lease typically requiring the Tenant to reimburse the Landlord for
Pass-through costs over a stated expense base or base year. For
example, the Tenant may be required to reimburse the Landlord for all
CAM over a stated set amount per square foot, or alternatively, the
Tenant may be required to reimburse the Landlord for all CAM in excess
of a stated base year.
NAIOP - National Association of
Industrial and Office Parks.
Net Lease - A type of space Lease
whereby the Tenant pays for all or part of the the expenses for their
space which may include: utilities, janitorial, property insurance,
property management, sewer, water, etc. See Absolute Net Lease.
Net Net Net (Triple Net) Lease / NNN
- A type of Lease where the Tenant generally pays for all operating
expenses. Often includes such things as responsibility for roof and
structural repair or replacement.
Notice - A written notice sent by USPS Registered Mail, USPS
Express Mail or Comparable signature-required service, or delivered by
hand, as defined in the Lease document. Notice is most often effective
on the date delivery is accepted or refused.
Pass-through - Expenses or a
portion of the pre-defined expenses associated with tenancy that are
"passed through" for payment from the Landlord to the Tenant who then
pays them. The calculation for the Pass-through depends on the Lease
type, Gross Lease or a Net Lease. See Expense Recovery.
Phase One Study - A preliminary
investigation, usually by a qualified engineer or consultant, of a
given property's current and past tenancies, adjacent property uses.
Phase One is an preliminary assessment prior to extensive analysis of
the possibility or likelihood of site contamination of any kind.
Phase Two Study - A more detailed
site analysis, including, but not limited to, soil borings, samplings,
testing of materials found in or around site or structures.
Phase Three Action - Prescribed
remediation of Phase One and Phase Two Study-revealed contamination or
hazardous or suspected-hazardous materials.
Premises - Contract-defined space for real property.
Recapture - A Lease clause providing
for Lessor's retaking or recovering possession of the premises,
usually by cancellation of the Lease under certain conditions.
Recording - The act of entering a
record of documents affecting or conveying interest in real estate in
a County recorder's office. Generally, until recorded, a deed,
mortgage or Lease is not effective against subsequent purchasers or
mortgages or other third parties.
Redemption Period - A period
established by state laws during which the property Owner has the
right to redeem his or her real estate from a foreclosure or tax sale
by paying the sale price, interest and costs. (Many states do not have
mortgage-redemption laws.)
Rentable Area / Rentable Square
Feet - The generally accepted means of measuring space within an
office building. According to the BOMA standard, measurement from the
inside of the outside walls, in new buildings from the glass
line, to the outside of the inside wall, or hall wall, and center to
center on any division walls. Columns are included. See Useable Square
Feet.
Rent Concessions - The granting of
negotiated privileges by a Property Owner to a Lease Grantee, in
exchange for good value of, more often, to entice the closing of a
Lease agreement, or to induce the another party to respond similarly
by yielding an equivalent position, right, or privilege.
Shadow Market - An estimate of the
measurement of the vacancy portion of the office market caused by
available sublease space - excess space leased but not currently
occupied by office users.
SIOR / Society of Industrial and
Office Realtors - A historically important professional commercial
designations of corporate office and industrial realtors having
approximately 1,600 members worldwide.
SONET / Synchronized Optical Network
Transmission - High-speed data and multimedia transmission system to
office buildings for such things as Teleconferencing.
Spec Development - Office space built
without pre-leasing or Tenants under contract.
Substantially Complete - Contract-defined work on the
premises, completed or obtained, excepting only such minor matters as
do not interfere with or materially diminish access, occupancy,
possession, use or enjoyment.
Telecommuting - Refers to employees
based in commercial office space while working outside of the office.
TeleConferencing / TeleComputing
- Combines audio and video media to provide both voice communication
and full-motion video images. See
TeleCommunications.
Tenant Improvement Allowance -
Defined money, labor, supplies or other consideration
given by a Landlord to a Tenant to construct and/or improve the
premises for occupancy.
Triple Net Lease - The most
common of commercial Lease types, the Triple Net Lease, which requires
the Tenant to reimburse the Landlord for such pre-defined applicable
items as, CAM, real estate related taxes, and Landlord's
property-related insurance. The Pass-through costs most often included
in a Triple Net Lease can vary, and can include additional items other
than CAM, taxes, and insurance.
Turn Key - Landlord-provided
Tenant
improvements including such things as partitions, doors, floor and
window coverings, electrical, excepting telecommunications wiring and
Tenant furniture.
UPS / Uninterruptible Power Supply -
A special back-up power source which automatically takes over in the
event of a failure in the main power system.
Usable Square Feet -
Most often the ANSI/BOMA definition for The area where
a tenant normally houses personnel and/or furniture, for which a
measurement is to be computed. See Rentable Square Feet.
Wet Columns - Columns where the pipes
are accessible for such as: plumbing or plumbing-related piping or chaseways, kitchens, and drinking fountains.
Window Bay - The linear square foot
calculation used to determine office sizes, such as a 40 foot bay
which, with three window bays, would yield 12 foot wide window
offices.
Work - Contract-defined alterations, improvements,
modifications, etc. required for the preparation or continued
occupancy of the premises by the tenant.
We invite you to
CONTACT US as you consider your next
office space now and moving up to that new and better office at
Barrister West.....
office space designed to fit your needs.
Download a Barrister West Brochure
from CBRE,
HERE!
For more information on Barrister West contact:
Brian Devlin, Vice President CB Richard Ellis
Address 400 N. Ashley Drive - Suite 1700
Tampa, Florida
33602
USA
1.813.952.8840 - Cell
1.813.229.8545 - Voice
1.813.222.0694 - Fax
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