In the current post-pandemic environment, many workers continue to work remotely, and most tenants don’t need as much space as in pre-pandemic days.
The impact is higher vacancies in the office sector and owners desperately trying to retain and attract tenants. Many landlords in the war for tenants have turned to offering new workplace amenities such as conference room services, fitness centers with nutritionists, and high-end food and beverage offerings.
To provide these services, landlords engage with third-party vendors and these arrangements present the potential for some thorny legal liability, according to a column at GlobeSt.com. To prevent that, both parties must hash out details over responsibilities for the engagement to ensure that it works as expected.
For example, a contract should include clauses about who can access bank accounts and who provides accounting support for expenses and revenue. Also, the vendor must be in tune with requirements in the landlord’s insurance to prevent inadvertent actions that could negate coverage.
In addition, amenity vendors may be unfamiliar with the coordination needed to operate the building when it comes to things like elevator usage, HVAC, access to loading docks, trash disposal, and parking. Details like that, if not spelled out in advance, could lead to rancor between the landlord and vendor, or worst case, a legal confrontation.
Design and construction firms should be aware of this dynamic when renovating space for upgraded office enhancements, as it could complicate the programming process or even derail a project.
Related Stories
| Aug 12, 2016
Top 70 Office Engineering Firms
Jacobs, AECOM, and Thornton Tomasetti top Building Design+Construction’s annual ranking of the nation’s largest office sector engineering and E/A firms, as reported in the 2016 Giants 300 Report.
| Aug 12, 2016
Top 100 Office Construction Firms
Turner Construction Co., Structure Tone, and Gilbane Building Co. top Building Design+Construction’s annual ranking of the nation’s largest office sector construction and construction management firms, as reported in the 2016 Giants 300 Report.
| Aug 12, 2016
Top 100 Office Architecture Firms
Gensler, HOK, and Perkins+Will top Building Design+Construction’s annual ranking of the nation’s largest office sector architecture and A/E firms, as reported in the 2016 Giants 300 Report.
Office Buildings | Jul 29, 2016
The ROI of company culture: Why companies should look at culture’s impact on profit
Organizations that purposefully craft and develop their culture experience a 14% turnover rate, whereas organizations that ignore their culture experience a 48% turnover rate, writes PDR Senior Consultant Christine Mikhail.
Office Buildings | Jul 13, 2016
Latest Gensler survey links innovation with workplace flexibility
A poll of 4,000-plus U.S. workers finds the most innovative among them spend less time at the office.
Office Buildings | Jul 12, 2016
CF Møller designs LEGO world headquarters complex in Denmark
The 52,000-sm complex will incorporate many familiar motifs from the popular plastic building block toys.
Office Buildings | Jul 11, 2016
CetraRuddy designs office tower for Manhattan’s Meatpacking district
Plans originally called for a hotel, but the architect and developers adapted their design for commercial use.
Market Data | Jul 6, 2016
A thriving economy and influx of businesses spur construction in downtown Seattle
Development investment is twice what it was five years ago.
Contractors | Jul 4, 2016
A new report links infrastructure investment to commercial real estate expansion
Competitiveness and economic development are at stake for cities, says Transwestern.
High-rise Construction | Jun 29, 2016
Best Tall Buildings around the world favor unusual shapes and hybrid functions
The Council on Tall Buildings and Urban Habitat selects winners in four regions.
