I know that’s probably the right answer. But it’s also… something-something… optics and feels, or something else in the headspace of those in charge?
Why? As tenants they’re still paying for electricity, A/C, heat, insurance, security, and office staff. And all that gets replaced with a beefier VPN and Zoom/Teams/Slack subscription, which a lot of businesses already had back in 2019. So, paying the remainder of the lease and having everyone work from home would still save money. Plus, I bet it would be possible to pay a reduced amount up-front in order to break the lease (say 75% of the remaining months), just so the building owner could (potentially) rent the space to someone else and double-dip. The fact that this isn’t the math everyone is doing, just plain stinks.
More like their friends own the building and they own their friends’ buildings and they’re all doing each other a favor to keep commercial real estate from declining.
Nah, it’s that they signed multi-year leases and have to justify spending the money.
I know that’s probably the right answer. But it’s also… something-something… optics and feels, or something else in the headspace of those in charge?
Why? As tenants they’re still paying for electricity, A/C, heat, insurance, security, and office staff. And all that gets replaced with a beefier VPN and Zoom/Teams/Slack subscription, which a lot of businesses already had back in 2019. So, paying the remainder of the lease and having everyone work from home would still save money. Plus, I bet it would be possible to pay a reduced amount up-front in order to break the lease (say 75% of the remaining months), just so the building owner could (potentially) rent the space to someone else and double-dip. The fact that this isn’t the math everyone is doing, just plain stinks.
You’re not thinking 1 quarter at a time.
More like their friends own the building and they own their friends’ buildings and they’re all doing each other a favor to keep commercial real estate from declining.
Surely it must be one or the other.