Office Space - Cost, Culture and Collaboration:

TechSpace is the nation’s premier full-service facilities and infrastructure provider to startups and established

companies across the U.S.

Orange County, CA

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Los Angeles, CA Costa Mesa, CA Chelsea, NYC Union Square, NYC West Village, NYC

San Fran – Feb. 2014

Flatiron NYC– June 2014

San Francisco, CA

Flatiron, NYC

OFFICE SPACE CHALLENGE FOR STARTUPS

**COST**

OPPOSITE OBJECTIVES

• Landlords – “Institutional” mind-set

– Long-term leases

– Credit-worthy tenants

– No muss; no fuss

• Tenants / Start-Ups – Flexibility

– Customized space

– Support Services

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Number of Tech

Companies

throughout NYC

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OFFICE MARKETS AND MIDTOWN SOUTH

• Tech submarkets across the country have posted double-digit

growth in rents over the past two years

• Midtown South, New York’s Silicon Alley, has seen rents jump

44%

• Vacancy Rate is 7.6%

• Rents

– Class A - $74.55 SF (highest in NYC)

– Class B - $59.65 SF

– Class C - $46.29 SF

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MIDTOWN SOUTH OFFICE COSTS

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OFFICE SPACE OPTIONS

• Home office / Starbucks

• Co-Working Space

• TechSpace

• Sub-lease

• Traditional leases

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CULTURE How your office space can affect & influence your employee culture

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CULTURE

• Your environment should support and reinforce the culture that you want to

embed in your business

• Culture is contagious, and it starts at the front door.

• Ten Second Rule

• Three Key Themes for Start-Ups:

– Functionality: transformation and change

– Authenticity: all about work and accountability

– Aspiration: creative expression, execution and craft

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COLLABORATION

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Business or Altruistic Goal:

“Separating employees into groups, each with its own

culture and approach to problem-solving, discourages

them from sharing ideas and solutions.”

COLLABORATION

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Reality?

COST!

It is cheaper to sit in benches & tables rather than cubicles &

private offices – 250 SF per employee vs. 75 SF per employee

COLLABORATION

• Co-Working Spaces

– No privacy

– Different companies, employees not employed by the same organization

– Good for collaboration and escape from isolation

• Traditional Office Space

– Expensive to start and maintain

– Use a lot of precious capital

• Business Centers

– “Traditional” environment

– Secluded, private offices

• TechSpace

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Collaboration & Technology – The roll it plays in

facilitating collaboration

• Bandwith and Wifi Infrastructure

• The synergies and value of working in a collaborative space.

• How to promote and preserve your office culture in collaborative spaces.

www.techspace.com

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