About 20 years ago, Harvard Business Review published an article on “Managing Real Estate to Build Value.” It asked one basic question: Can we reduce the amount of space we’re using? It said five factors provide a snapshot of a company’s real estate situation:
Amount: Can we reduce the amount of space we’re using?
Price: Can we reduce the price we’re paying for space?
Grade: Can we do business as effectively in a different type and class of facility?
Area: Can we do business in another submarket in the region?
Risk: Can we reduce the environmental and financial risks of occupying this real estate?