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Unlocking Productivity and Flexibility: Exploring the Benefits of Executive Suites

Capitol Center Executive Suites Reception

Capitol Center Executive Suites Reception

By Kaley Tucker, RPA
Property Manager | Partner

In the ever-evolving landscape of modern business, traditional office spaces are no longer the sole option for professionals seeking a conducive work environment. The rise of executive suites, also known as co-working office spaces, has transformed the way people work, collaborate, and succeed in their careers. In this article, we will delve into the key features of executive suites and explore the diverse range of individuals and businesses that can benefit from them.

What Are Executive Suites?

Executive suites, often referred to as co-working office spaces, are flexible workspace solutions that provide a wide range of office amenities and services within a shared environment. These spaces are designed to cater to the needs of professionals, freelancers, startups, and established businesses alike. They offer an alternative to the traditional office setup, allowing individuals and organizations to work in a collaborative and cost-effective environment.

The key features of executive suites include:

Flexible Office Space: Executive suites offer various workspace options, including private offices, meeting rooms, and communal areas. This flexibility allows individuals and businesses to choose the environment that best suits their needs.

Amenities and Services: Executive suites can come equipped with essential office amenities, such as high-speed Wi-Fi, printing and scanning facilities, phone services, community breakrooms, and conference facilities. Furnished spaces are also sometimes available upon request. Furthermore, executive suites frequently provide concierge services, manage mail handling, and offer access to comprehensive administrative support.

Networking Opportunities: Executive suites foster a sense of community by bringing together professionals from diverse backgrounds and industries. This environment encourages networking, collaboration, and the exchange of ideas and services.

Flexible Lease Terms: Another appealing feature of executive suites is their flexible lease terms. Unlike traditional office spaces that often require long-term lease commitments, executive suites typically offer month-to-month lease options. This flexibility allows occupants to expand or contract their space requirements with ease, making it an attractive choice for businesses that value adaptability in their workspace arrangements. Whether you’re scaling up your team or downsizing temporarily, the ability to adjust your office space on short notice can significantly enhance your operational agility.

Who Can Benefit from Executive Suites?

Entrepreneurs and Startups: For entrepreneurs and startups looking to establish themselves in the business world, executive suites provide an ideal solution. These spaces offer affordable office setups and access to resources that might otherwise be out of reach. The networking opportunities also help startups connect with potential partners, clients, and investors.

Remote Workers: As remote work becomes increasingly prevalent, remote workers often seek a dedicated workspace away from home. Executive suites offer a professional environment where remote workers can focus on their tasks without the distractions of home life.

Small and Medium-Sized Enterprises (SMEs): SMEs looking to scale their operations can benefit from executive suites as they provide flexible expansion options. Businesses can easily add or reduce the number of workspaces they require, adapting to their growth trajectory.

Freelancers and Solopreneurs: Freelancers and solopreneurs often find executive suites attractive because they offer a professional setting to meet clients, collaborate with others, and maintain a work-life balance. It also gives them access to a more formal work environment than working from home.

Large Corporations: Even established corporations can benefit from executive suites. They can use these spaces for project-based teams, satellite offices, or as temporary solutions during office renovations or relocations. This flexibility allows them to optimize their real estate portfolio.

Consultants and Professionals: Consultants, coaches, lawyers, accountants, and other professionals can utilize executive suites to meet with clients and have access to well-equipped meeting rooms. This creates a professional image and enhances client interactions.

Creatives and Artists: Creative professionals such as writers, designers, and artists can find inspiration in the dynamic atmosphere of executive suites. These spaces often host events and workshops that can foster creativity and collaboration.

Temporary and Mobile Workers: Professionals who require temporary office space while traveling or working on short-term projects can benefit from executive suites. They offer a convenient and comfortable workspace in various locations.

Nonprofit Organizations: Nonprofits often have limited budgets, and executive suites can provide a cost-effective solution for their office needs. These spaces allow nonprofits to focus their resources on their mission while benefiting from professional facilities.

Work-Life Balance Seekers: Individuals who value work-life balance may prefer executive suites over long commutes to traditional offices. These spaces are often located in convenient areas, reducing commute times and improving overall well-being.

Executive suites, or co-working office spaces, have emerged as a versatile and innovative solution for professionals and businesses seeking a conducive and flexible workspace. With their wide range of amenities, cost-effective options, and networking opportunities, executive suites cater to a diverse audience. From entrepreneurs and remote workers to SMEs and large corporations, these spaces offer a modern and adaptive approach to the evolving world of work. By embracing the benefits of executive suites, individuals and organizations can unlock new levels of productivity, collaboration, and success in their professional endeavors.

If you think executive suites might be the right fit for you or your business, Kelley Commercial Partners is your go-to resource for finding the ideal solution. With a robust portfolio encompassing nearly 110,000 square feet of executive suite space under our expert management, we are confident that we can help you find the space to fit your specific needs. Call us today at 501.374.3200 or visit our website and view our office listings to learn more.

High Demand Expected for Conway’s 150,000-SF Commercial Hub

Gainwell Technologies | 355 Ledgelawn Dr Conway, AR

This property is a game-changing addition to Conway’s commercial real estate landscape. This ±150,000 SF LEED-Certified Building is “some of the most compelling commercial space in central Arkansas,” and it’s already generating a lot of buzz. Read more at the link below.

Click Here

1031 Exchanges Help Defer Certain Tax Liabilities

Brokerage, property management, development management, consulting

For all of your commercial real estate questions, ask a professional at Kelley Commercial Partners

A 1031 exchange, also known as a tax-deferred exchange, gets its name from the Internal Revenue Code 1031. Essentially, this rule in the tax code allows investors to defer certain tax liabilities they would otherwise incur after making a profit from a real estate investment. This can be an incredibly effective tool for investors who find themselves in a situation in which they would like to sell a real estate holding, but do not want to incur the tax burdens such a transaction would create.

In order to take advantage of the 1031 exchange rule, you must replace the property you are selling (the relinquished property) by purchasing another property (the replacement property) with one of equal or greater value and similar in kind and use. For example, if you are relinquishing a rental property for $100,000, you must replace it with another rental property with one valued at $100,000 or more. (You may also have the option to buy several rental properties, so long as the sum total of their value is $100,000 or more). So, unfortunately, you cannot relinquish a rental property and replace it with a vacation home because those two properties would not be alike in kind and use.

In addition to these restrictions, there is a set time frame in which all of these transactions must occur. Once the relinquished property has closed, investors have 45 days to identify the replacement property and 180 days to close that transaction.

Finding buyers for the properties you wish to relinquish, while at the same time attempting to identify equitable exchange properties can be challenging, especially considering the time restrictions. Proper attention must be paid to the details of how 1031 exchanges work and how using them might affect your long-term plans. This is why it is so important to find an experienced CRE professional you can trust to help you with the due diligence commercial real estate transactions require.

If you have any questions regarding a tax-deferred exchange or any other commercial real estate issue, Kelley Commercial Partners brokers and associates are here to provide the answers and support you need to make successful decisions.

Site Selection: Key Elements in Finding the Right Commercial Space

Brands include Church's Chicken, Costco, Bloomin' Brands, Jersey Mikes, Dillard's, Five Below, HomeGoods, TJ Maxx, and Marshalls.

By Brooke Miller

You know the old saying: “Location. Location. Location.” In the commercial real estate game, well-designed business plans, solid funding, and meticulous execution are all necessary pieces of the puzzle, but without the right location, success can be elusive. Finding the right commercial space for your business plays a pivotal role in determining its fate. The perfect location can be the catalyst for exponential growth, while a poor choice can lead to stagnant sales and missed opportunities. When it comes to selecting the right site, making an informed decision is paramount.

The site selection process involves a thorough evaluation of numerous factors to identify the most optimal location for a particular commercial use, be it a retail store, restaurant, office building, or industrial facility. Engaging the services of a trusted commercial real estate firm that is familiar with the local market can prove to be a prudent choice, as it can streamline the process and will likely yield potential cost and time savings. To kickstart the site selection journey, the first crucial step involves defining the project’s unique requirements and clear-cut objectives. This encompasses determining the ideal property size, type, location, budget, and project timeline. Armed with this comprehensive information, a commercial real estate agent can get to work to find options that make the most sense for a client.

Factors to Consider in the Site Selection Process:
  • Suitability: A site’s prime suitability almost always revolves around its accessibility to customers, employees, and suppliers. A strategic location near major roads, highways, and public transportation can be crucial. Additionally, the availability of utilities to the site as well as environmental considerations can often play a vital role in evaluating suitability. And of course, understanding the site’s zoning is essential, as it determines the permissible uses in the area. If zoning adjustments are needed to align with the intended use, an experienced commercial real estate agent can help navigate municipal requirements for a smooth process.
  • Demographics: A comprehensive evaluation of the surrounding area’s demographic profile is also imperative to ensure it supports the intended use of the property and aligns with the needs of the community and workforce in the area.
  • Market Conditions: Thorough analysis of real estate market conditions helps gauge the demand for properties or businesses similar to the one under consideration. This information is vital for predicting the potential return on investment. An in-depth market analysis includes studying current trends, the availability of land or commercial spaces in the desired location, traffic counts, and property values.
  • Competition: The presence of similar businesses or developments in the area also should be evaluated to determine the expected level of competition and the potential for market saturation.

Once potential sites have been selected, a tour of each site usually follows to help investors determine the best possible option.

How Kelley Commercial Partners Can Help

Over the years, we’ve helped numerous major brands and businesses navigate the complexities of site selection, so if you’re looking to embark on a successful commercial venture, Kelley Commercial Partners’ team of knowledgeable agents possesses the expertise to guide you through every step of the process. We understand that “location” is the cornerstone of prosperity, and our thorough evaluation process ensures we find the most optimal site tailored to your unique business needs. With a keen eye on suitability, demographics, market conditions, and competition, we meticulously identify prime locations that can serve as catalysts for exponential growth. You can trust KCP to provide unwavering support in achieving all of your business goals.

 

 

Kelley Commercial Partners has an award-winning team of real estate professionals with the experience and knowledge to ensure you maximize your potential and reach your financial goals. Let us help you create a clear plan and provide the guidance you need to confidently move forward. Contact us today or click here to explore available properties.

 

 

 

Cap Rates: Understanding Commercial Real Estate’s Key Metric

Understanding Cap Rates

By Daryl Peeples

If you’re considering investing in commercial real estate, you’ve probably heard the term “cap rate” thrown around. Cap rates, short for capitalization rates, are a key metric used in commercial real estate to determine the value of a property and its potential return on investment. It’s essential to understand what cap rates are, how they are calculated, and how they affect the value of a property before you buy.

WHAT ARE CAP RATES?

Cap rates are used to determine the value of a property by calculating the net operating income (NOI) divided by the property’s market value. The NOI is the income generated by the property after all operating expenses have been deducted but before debt service and taxes. Cap rates are expressed as a percentage, with a higher percentage indicating a higher rate of return.

HOW ARE CAP RATES CALCULATED?

Cap rates are calculated by dividing the NOI by the market value of the property. For example, if a property generates $100,000 in NOI and is valued at $1 million, the cap rate would be 10% ($100,000 divided by $1 million). Cap rates can also be used to estimate the value of a property by multiplying the NOI by the cap rate. Using the same example above, if an investor is looking for a 12% return on investment, they would be willing to pay $833,333 ($100,000 divided by 12%) for the property.

HOW DO CAP RATES AFFECT THE VALUE OF A PROPERTY?

Cap rates play a crucial role in determining the value of a property. A higher cap rate means that investors are willing to pay less for the property, which can be an indication of higher risk, lower cash flow, or both. Conversely, a lower cap rate means that investors are willing to pay more for the property, which can be an indication of lower risk, higher cash flow, or both. Cap rates can also be used to compare the value of similar properties in the same market. For example, if two properties generate the same NOI but have different market values, the property with the lower market value and higher cap rate may be a better investment opportunity.

WHAT FACTORS AFFECT CAP RATES?

Several factors can affect cap rates, including the property’s location, condition, tenant mix, lease terms, and market conditions. Properties located in high-demand areas with strong economic growth and low vacancy rates typically have lower cap rates. Properties with long-term leases to creditworthy tenants and low operating expenses may also have lower cap rates. Conversely, properties located in areas with weaker economic growth, higher vacancy rates, and higher operating expenses may have higher cap rates.

HOW TO USE CAP RATES IN COMMERCIAL REAL ESTATE INVESTING

Cap rates can be a useful tool for investors looking to get involved in commercial real estate. By understanding cap rates and the factors that affect them, investors can make informed decisions about which properties to invest in and at what price. Here are some actionable tips for using cap rates in commercial real estate investing:

  1. Research the market:  Before investing in a property, research the local market to understand the demand for commercial real estate in the area, vacancy rates, and economic growth.
  2. Evaluate the property:  Evaluate the property’s condition, tenant mix, lease terms, and operating expenses to determine its NOI and market value.
  3. Compare cap rates:  Compare the property’s cap rate to similar properties in the same market to determine if it is a good investment opportunity.
  4. Consider the risks:   Consider the risks associated with the property, such as changes in market conditions, tenant turnover, and maintenance costs.

Our team of trusted commercial real estate professionals has the knowledge and experience in the local market to guide you through all the above and provide valuable insights into the investment potential of a property. For more information, please contact us.

Daryl Peeples is the President, CEO

Daryl Peeples
President | Principal Broker | Partner

 

Daryl joined the firm in 1985 and currently serves as president and principal broker, and partner. As principal broker, he ensures that all business conducted by the firm and its real estate activities adhere to the rules and regulations set by the Arkansas Real Estate Commission. Daryl provides strategic direction and leadership to advance the company’s mission and increase revenue, profitability, and growth as an organization.

 

 

 

Kelley Commercial Partners has an award-winning team of real estate professionals with the experience and knowledge to ensure you maximize your potential and reach your financial goals. Let us help you create a clear plan and provide the guidance you need to confidently move forward. Contact us today or click the links below to explore investment opportunities in Central Arkansas.