It's hard to believe that Fog Creek needs more office space already... it's been less than a year since we finished expanding to take over the whole 18th floor here at 535 Eighth. This summer, unfortunately, with all the summer interns, we're going to have some people doubling up in offices, and by May 2008 our lease here will have run out.
In calculating how much space we're going to need, I'm using this formula.
You take the total that gives you and add 30% for circulation (hallways and passageways) which gets you something often called the carpetable square footage. It would be really nice if office space listings were given in carpetable square feet, because that's what the tenant cares about, but the landlords instead make up some kind of number that includes:
Theoretically the building has something called a loss factor which converts between how much space you have to rent and how much actual room you get for offices and espresso stations, but in reality, this just gets you in the ballpark, and every space is different (long narrow spaces need more circulation space) so there's no alternative to having your architect take the floor plans and actually figure out how many offices will fit in there.
The other problem we're going to have is that we can assume that we'll be growing during the course of the typical 5-10 year lease, and we certainly can't afford to rent enough space for our 2017 needs right now. The brokers we spoke to suggested three ways to solve this problem:
We're also toying with a fourth idea: getting too much space and renting it out in small chunks to software startups that need an office or two while they're bootstrapping, and who would appreciate a working environment designed for programmers rather than a coffee shop or one of those coworking places. The trouble is that it would end up costing something on the order of $1500 a month for a private, Fog Creek-quality office, which might be out of the range of bootstrapped startups.
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