How the Hospitality Shift is Reshaping the Office Lease

Today’s most successful owners are running their office buildings like hotels, deploying dedicated experience managers, curated programming, F&B activations and community-driven leasing, and redesigning fitness centers, conference rooms, tenant lounges, cafeterias, and other amenities. This increased emphasis on amenities and tenant experience has converted office from a real estate product into a hospitality product, and every dollar of that shift is now being negotiated inside the lease.

In a recent article for Crain’s, Varun Chari unpacks a few issues operators, tenants, and investors should understand about negotiating commercial leases in this environment, including:

• The landlord’s obligation to maintain amenities;
• Amenity access as tenant economics;
• And fair rental value of amenity spaces in operating expenses.

To read the full article, click here. Preparing to negotiate a commercial lease? Reach out to Varun Chari or another member of LP’s Real Estate Group.