A breakdown of how to price office space in a mixed-use Irvine property for coworking operators like Spaces and Workuity. The key is separating market rates from member value, then using the office rate to estimate total building earnings across industrial, office, and common areas.
Chapters
Good question. Say that again. The property has garage bay doors too. So what are we looking at here? So yes, I would separate this into market lease rates and member value rate. So it shows here that you're about, you're not over $2 a square foot on anything out there. Keep going. Go ahead and ask it to review like what it would be for. But okay. So now looking at it, let's figure out what the per square foot price is on the office space, because we would want to do a co-office unit, like the company called Spaces or the company called Workuity or the company called Incipitus. These companies have a coworking space. What is the office square foot price on this property? And so now it'll calculate out that other 10,000 square foot upstairs. I think most get an idea of what that looks like. So it's wanting to do the whole— I don't want it to do the whole space. So let's tell it that we only need the available office space, meaning that like 10,000 square foot. We only have about 10,000 square foot of usable office space that we would be leasing out. So I want to know the per square foot price of office space in the Irvine market. And then we're going to break all this down into what the building would totally be able to earn with the fact that we would have about, about 12,000 square foot of industrial, 10,000 square foot of office, and the rest of the space would be considered common area.
