Give priority to sublease marketing

While subleases are often attractive options for companies seeking temporary or discounted space, provided the fit is right, subleasing takes on a different face when it's your company marketing the excess square footage. 

Companies hoping to fill open offices need to take a very proactive approach to getting them occupied, which means creating a marketing plan. The best first step is to contact your exclusive tenant representative, who can assist you in understanding market conditions and how to communicate with your landlord throughout the process. Also, your tenant rep may very well have another client who could benefit from your surplus space. 

When marketing sublease space, be realistic. The point is to stop some of the bleeding, not all of it. It is certainly possible to get your current net cost per square foot, but highly unlikely. You will want to avoid wasting time on the market with an above-market sublease rate, so it's best to price it aggressively right out of the gate. 

Companies looking to sublease are often small or in a growth stage that doesn't necessarily allow them to take on a direct lease or first generation space. You can make your sublease more attractive by adding incentives like furniture and equipment, provided you have outfitted the space in question. Can you offer network connections, WiFi or reception services? What's your break room like? How about parking? There is no "hard and fast" rule to what you can offer as part of your sublease, as long as you do not over-extend financially with extras. 

Your marketing department and vendors should create proper promotional materials and assist in the sublease outreach efforts. Since a sublease could mean fewer dollars lost every month, it should be given priority in the marketing queue, including ongoing reporting and management. What did your leads respond to? What opportunities exist within the tenant roster of your own building? Is it on your website? 

Companies looking to sublease should exercise caution in their marketing to ensure that a message of "imminent collapse" is not being communicated to customers. If asked about it, explain it honestly, assuring them that a sublease is smart business strategy, not a sign of trouble. 

If you feel a sublease may be a smart business option for you, contact your local ATR member today about how to best get started.