David A. Moore has more than 16 years of office sales and leasing experience in commercial real estate and has been recognized numerous times as a leading broker in the Indianapolis area. Moore joined Colliers Turley Martin Tucker in 1997 and serves as principal and senior vice president specializing in office sales and leasing. He also co-founded IndyOfficeSpace.com, a Web site offering a comprehensive list of office space.
Q. Is now a better time to buy or lease office space?
A. It’s definitely a better time to lease office space if you’re a tenant. It is a good time to buy office space, as well, if you’re an owner/occupant of real estate. If you’re an owner/occupant, lenders will lend money. If you’re not an owner/occupant, you’re an investor, (and) you need a loan on a property, loan to value is 50 percent at best sometimes lower. Lenders are choosing to not loan.
Q. If you’re leasing, are there ways to renegotiate your lease before it expires?
A. Certainly, the laws of supply and demand apply to everybody and owners, meaning landlords, are often times very receptive in these times to early renewals. An early renewal in Indianapolis can be anything from a year early to three years early. But the larger the tenant the more leverage they’re going to have with the landlord and vice versa. That’s definitely a trend because if you’re a tenant and you can take advantage of the advantageous market conditions now, not have to relocate, (you) save money basically in two different areas.
Q. What should businesses be looking for when analyzing a lease?
A. When it comes to property, I think you need to look for stability in your landlord and financial health. I think that you need representation from a real estate perspective, meaning brokerage community, and I think you need good legal representation. That’s always the case, not just this environment that we’re in. I would say that the real estate broker is your source to investigating any one landlord over another, when it comes to financial wherewithal and health.