What is IT space leasing? How is the process handled end-to-end?
Complete Description of IT space leasing, particularly in an Special Economic Zones
Answers (3)
Please clarify what you mean by "IT" space. If you mean to lease Office Space for an Information Technology (IT) company, pretty much any normal office space would apply. If you are referring to leasing space for a Data Center with servers, computers, raised floors, and fire protection - that is a different question.
As for Special Economic Zones - the answer varies greatly, depending on where the location is and who is offering the Economic Incentive for you to locate there.
Whether you are looking for standard Office Space or a building for a full Data Center, there are often many different incentives to locating a new or existing business in a Economic Zone (the title of this type of zone will vary in different areas). The state, city, or county that contains the economic zone may offer special loans, cash incentives, tax abatement, building incentives, or other financial accommodations to encourage new business development in their locality.
Lease rates very from market to market. In the Minneapolis-St Paul market rates for IT space range from $10/SF - $18/SF triple net, depending on the sub-market within the city.
Ramesh M
Head-Strategic consulting - Real Estate
Best Answers in: Business Analytics (1), Personal Real Estate (1)
Hi Samip... Your question seeks more brevity.
If you mean fully furnished and fitted out spaces for exclusive use if the IT companies, it is a function of the cost of lease of the real estate + the monthly cost of lease for the use of the capital goods.
However, there are no 'thumb rules'. The cost of real estate would more or less remain the same, but there can be a lot of customization possible on the fit-outs and IT infrastructure. One of the most impoortant factor that we always try to include is the cost of licenses for softwares, the cost of upgradation of technology, the insurances and liabilities.
My understanding is that every deal has to be structured. As a eral estate company undertaking these assignments periodically, we understand this business. PLeas contact me directly in case you have any specific query.
