What Investors Should Know About Office Buildings With Subleases

What the surplus of subleased space available in today’s office market means for investors and how they can best operate in the changing landscape. Availability of office space for sublease has climbed markedly in the Tampa Bay area, where we’re based, matching a trend that is prevalent around the country. In fact, a number of large metro areas like Chicago and San Francisco have recently set records for the amount of office sublease space that’s available. The continuing evolution of office space is causing many companies’ needs to change, and this creates a problem if an office tenant wants out of its existing building, but can’t sublease the space. In turn, this can negatively impact landlords and investors.

The good news is, there is plenty of capital available in the market, and certain types of office properties with appealing fundamentals and features still offer attractive investment opportunities. This article highlights what the surplus of sublease space available in today’s office market means for investors and how they can best operate in the changing landscape.