Frequently Asked Questions
So, how can you help us?
We'll take you from start (Understanding the business needs and corresponding office requirement) to finish (Committing to an office space). We can help you identify and align strategic business, financial, and operational objectives with your Wellington office requirements.
We will guide you on how to best leverage your tenancy in the market to achieve maximum value and flexibility.
Creative market search
We use creative approaches to evaluate unique opportunities, including off-market space options. We will leverage our relationships with landlords and other tenants to present off-market opportunities with the objective of reducing the overall cost of the transaction.
We can provide financial analyses that enable thorough comparison of space options under consider. Clients benefit from an accurate budget for transactions and annual occupancy costs. Our in-depth financial analyses will enable you to control your lease structure.
Strong relationships with landlords
Our strong relationships with landlords enhance our insight into their business drivers, resulting in informed and productive negotiation strategies.
How do we engage your services?
Easy - give us a call or submit a brief and we can take it from there. To get the very best from us you'll need to hire us as your exclusive tenant representative. We have a standard representation letter which confirms your intent and commitment to us - once we get this signed we'll work hard - until the job is completed.
You can hire us to represent you exclusively with genuine confidence, knowing that there's effectively no office space in the Wellington region that we can't show you. The market largely operates on a 'general agency' basis which allows us to cover the entire market.
Now that we have hired you - what can we expect?
We're like any other broker or service professional. We will represent your interests, to give you good advice and to help you through the first phase of the leasing process; that is helping you determine how much space you need, what are your most important selection criteria, and then finding and negotiating for the space that best meets your needs. Don't be afraid to ask us all kinds of questions.
Remember that we don't get paid unless a lease is signed, therefore our primary aim will be to make the transaction happen.
We pride ourselves on working hard to meet your Wellington office requirements on time, to budget and to your specification.
See what others are saying about us...
How much space will we need?
This depends on a number of factors - starting with the nature of your business. Ultimately, having the right amount of space for people to comfortably work is the guiding factor.
The rule of thumb is generally 15-16sqm per person, comprising of desk space, storage, meeting rooms, kitchen and reasonable circulation area.
Certain professions may require more or less space per person:
• Professional Services requiring multiple private offices: 20-25sqm
• Public Sector as guided by the Property Management Centre of Expertise (PMCoE): 12-15sqm
• Call centres with a large open plan area: 8-12sqm
How much will it cost to fit-out our office?
This largely comes down to the envisaged outcome of your organisation - the standard you are looking to achieve as well as the complexity of design. Some offices may have an existing fit-out which might work, but in Wellington most offices are leased in a base build state (flooring, ceiling and air conditioning).
We recommend using one of our fit-out partners to advise you on this aspect.
See table below for a guide on finish quality:*
Basic $450 - $550 per square Metre
Medium $550 - $650 per square Metre
High $650 - $750 per square Metre
* Subdivisional Partitions, kitchen and additional amenities, reception and boardroom
When should we start planning to relocate?
It's best to give yourself plenty of time so that the business can make an informed decision on the right move. By providing yourself with time you can review your situation, the marketplace and the possibility of renegotiating your current office lease.
As a general rule businesses with a requirement of:
Size of Office
50sqm - 250sqm
3 - 6months
250sqm - 500sqm
6 - 9months
500sqm - 1000sqm
9 - 12 months
12 - 24 months
How are commercial brokers paid?
We are paid by the landlord for a successful tenant placement within their building - there's no cost to the tenant. However, to commit time to you we like to work exclusively as your single point of contact to the market. The industry standard is 2-months rental plus GST. The lessee will pay this as a deposit which is collected by Bayleys on behalf of the Landlord as rental in advance.
We need space for a gym or studio can you help?
Absolutely. We regularly work with businesses who have a requirement for commercial office space for different uses. Provided the landlord and co-tenants are willing to agree, there's no reason why we can't place your business into commercial office space. We've placed gyms, yoga studios, dental and doctor surgeries - an array of businesses of various natures.
What is a 'make good' and how much will it cost?
Leases often provide for the tenant to make good at the end of the lease, that is, to restore the premises to the condition they were in when the lease commenced taking into account fair wear and tear. Taking photos when you enter into possession is a really great idea in the event there is a difference of opinion as to the condition of the premises at that time.
Depending on the workspace, 'make good' generally costs between $80 and $150 per square metre.
If you're working with a workspace designer ask them about this before commencing.
Do we need a commercial broker to find office space?
No. But what you need us for is our deep market knowledge and expertise surrounding the leasing process. We're much more than just an office space finder, you want our advice as to what space is best suited for your business, what are the best commercial terms and how this stacks up financially. We will help you in all aspects of the commercial space transaction. That starts with understanding your business and ends with a signed lease.
You as the tenant enter into a lease once every so often. We negotiate for office space on a daily basis. Do you file your own tax returns or cut your own hair? Same reasoning applies here.
Still not sure about us? Check out our testimonials.
What's the difference between a leasing agent and a tenant rep?
The leasing agent has the listing on the property and represents the interests of the landlord. A tenant representative represents the interest of the tenant in a lease transaction. Leasing agents are experts at finding tenants; tenant reps are experts at finding locations. We work on both sides of the equation.
What's the difference between a gross lease and a net lease?
A gross lease is an agreement whereby the tenant pays a fixed rental rate and the building owner pays all the operating expenses. This means that the landlord pays expenses such as insurance, rates and utilities associated with the property, while the tenant is responsible for the rent and specific business related expenses such as internet, telecommunications and electricity . This is the standard type of lease for office space within the Wellington region.
In a net lease the tenant pays a portion of expenses associated with the building being leased. This type of lease puts the burden of increasing expenses for rates, utilities and insurance on the tenant and removes liabilities from the landlord.
Why are buildings subject to earthquake-testing?
Wellington is in an active seismic zone and the Building Act 2004 requires the Council to develop and implement a specific quake-prone building policy.
How do we interpret a buildings earthquake rating?
All local councils in New Zealand are required by the Building Act 2004 to develop and implement a policy to determine which buildings might be prone to significant damage as the result of an earthquake. For the purpose of consistency, there is a theoretical ‘design-level earthquake’ that all modern buildings must be built to endure.
When assessing the performance of older buildings, they are deemed ‘earthquake-prone’ if during an earthquake of only one-third the intensity of that standard they can be expected to suffer partial or complete collapse, causing injury or death to people or damage to another property.
An %NBS (New Building Standard) percentage should not be taken at face value, it's important that you understand the mechanics behind the number so that you can make an informed decision for your business and employees.
There are three main stages for the assessment of Wellington’s buildings.
1. Document Review
In the first instance research is carried out through Council records, city archives and private documentation (where available) to determine the history of the building and what (if any) previous upgrades may have occurred.
2. Initial evaluation procedure (IEP)
Developed by the New Zealand Society of Earthquake Engineering (NZSEE), the IEP provides an indication of a building’s seismic performance relative to the minimum strength to which a modern building would have to be constructed. The result of this assessment is a percentage score of the New Building Standard (%NBS) from which it is possible to determine whether a building is potentially quake-prone (less than 34 percent). The Council has contracted structural engineers to carry out the assessments.
3. Detailed engineering evaluation (DEE)
Where a building has been identified as potentially quake-prone by the IEP process, the Council contacts the owner and requests that they get an engineer to carry out a detailed assessment. Any detailed assessment should provide an accurate measure of % NBS, which will supplement any IEP scores held on file.
Seismic Performance Measurements
A+ > 100
A 80 - 100
B 67 - 79
C 34 - 66
D 20 - 33
E < 20
Here's a list of earthquake-prone buildings in Wellington.