It costs only $15.59 per square foot to rent an office space in Albuquerque, which led the city to become the cheapest place for rentals in the U.S., according to CBRE Group Inc. The company collected information during the first quarter of this year. While rates may have changed today, the report provides commercial tenants with an idea of how much they should spend on average leasing rates.
The best thing about saving money from cheap rents is having extra cash for buying offices cubicles for sale or other equipment. CBRE’s report showed that most affordable cities are on the East Coast. Louisville in Kentucky ranked next with an average cost per square foot of $17.58, followed by $18.29 per square foot in Cleveland. St. Louis and Milwaukee arguably have the same rates at $18.49 per square foot and $18.50 per square foot respectively. The cities share a common denominator: low vacancies for properties due to growing demand that will continue for the rest of 2018.
While affordable rents are good news for companies, many have also turned their attention to more sustainable buildings in urban areas. Property developers have responded to this need by launching more green construction projects. An index pegged the percentage of environmentally friendly towers at 41% of the overall supply. Chicago’s rents may not be among the most affordable office rents, but Chicago has the most number of green buildings. They represent almost 70% of industry-certified properties. Other cities with a substantial supply of sustainable spaces include Atlanta, Los Angeles, Minneapolis, and San Francisco.
Low office rentals often compel businesses to take out a lease almost instantly. If you have money to spare, take some time to think if you would really save money from moving into a city with cheap rates.