Small Office Space for Rent NYC: A Complete Guide for Startups
Looking for a small office space in NYC? The competition is so massive that it is depressing. It can be overwhelming for a startup to secure a small office space in a busy city like New York. In this blog, our experts at Unique Workspace will give you insights on how to secure a small space, perfect for startups in NYC.
Why Startups Choose NYC for Office Space
Startups don’t just choose NYC for its large city or busy work vibe. There are reasons that serve their company-
- Lucrative investor and funding opportunityÂ
- A large population equals more customers
- Networking opportunities in NYC startup meet-ups, industry and tech events
- Greater brand imageÂ
- Skilled workforce from top universitiesÂ
- Access to amenities for a businessÂ
Types of Small Office Spaces in NYC ( Perfect for a startup)
Traditional leased officeÂ
Traditional leased office, directly from the landlord. There is scope for full rebranding, layout, and signage. The lease is for 3-10 or 3-5 years in most cases. This type of traditional leasing is appropriate for stable startups and companies that require privacy in their work. However, leasing may seem complicated for many new startups. It’s always better to hire an attorney to review the lease. Â
Co-working space
If you’re a new startup with a small team and a low budget, a co-working space might be the solution for you. It offers a hot desk, a dedicated desk or a private mini-office, depending on the cost. There is also utility and required amenities like Wi-Fi, coffee, meeting room.Â
However, it is better to check the noise and environment prior to getting involved in a co-working space. There is lower privacy and fewer branding opportunities.Â
Turnkey private office
Also known as a serviced office, a turnkey private office comes fully furnished, with proper amenities, sometimes even with a receptionist. So this is basically like a hotel or suite, but for your startup office. This is ideal for startups that immediately need an office, without the hassle of furnishing and designing the whole area. The catch is cost is premium, and NYC turnkey offices are competitive to get.Â
Sublease
Bigger companies lease out their free space for startups or small companies, which is termed as sublease. This is a cheaper and efficient rental method in NYC. As the competition and cost of leasing are high in this area, many startups go for subleasing. It comes with furniture and amenities. So startups can avoid the hassle of furnishing the office.Â
Virtual office
A virtual startup office in NYC adds credibility to the company. Clients, investors and partners can trust more if there is a legit office address in NYC. Moreover, many virtual office provides a mailroom, reception or access to a conference room when needed—a virtual office is ideal for remote companies, especially in the IT sector.Â
Flex Space
A flex space office is ideal for startups planning to grow large. This office type offers scalability. Startups can rent for 5 desks, and additionally scale up to 20. Although this office type is a bit expensive in the long-term perspective, the functionality is not negligible.
Cost Of Small Office Space In NYC
The cost of office space heavily depends on location, building class and size of the office. Here is a cost breakdown of a small office for startups in NYC-
Location | Monthly rent for 1000 sq ft |
Manhattan, Class A building | $7000-$12000 |
Manhattan, class B building | $3700-$5800 |
Financial District(FiDi)Â | $5000-$7000 for Class A, $4000-$5000 for Class B/C |
Brooklyn | $3000-$6000 |
Co-working, flex space office | Starts from $1500-$4000 monthly |
- Costs are calculated by per square ft per year, or PSF/yearÂ
- Class A means premium, most desirable buildings, and lower classes are more reasonable price.
Factors a Startup Should Consider When Renting Office Space in NYC
Before finalizing an office space, a startup must consider the following factors. These can reduce the risk of getting broke and ensure a great small office in NYC.
Total costÂ
First of all, you need to calculate the total cost of the office. And we are not just talking about the square feet. Well, an office needs not only man but also furniture to work in, internet, and other utilities and amenities, including the CAM, or common area maintenance fee, which must be checked.Â
FlexibilityÂ
A traditional office lease in NYC can hold your company for 3-5 or even 10 years. As a startup, it is a high risk factor. Look for co-working space, sublease, or serviced office, which offer a bit more flexibility.Â
Location
Your client rate, investor, and commute depend on the location you are choosing. Most creative offices are based in SoHo and Brooklyn, and legal offices are located in FiDi or Midtown. However, you can select any location you like, as long as there is client opportunity, amenity service availability, and easy transportation.Â
ScalabilityÂ
Startups often start at the seed level and grow into bigger companies. Moving office every year with an increasing staff isn’t a viable option. Look for Flex Space, which offers scalability without moving.
Amenities facilityÂ
Everyday necessaries in the office, such as wifi, coffee, meeting rooms, printing, and security, are amenities that increase the workflow. So check on the amenity you’re getting before contracting with an office.
Brand image/personalization
As we have heard, the first impression is the last impression. Brand image is crucial to establish a connection with potential clients and investors. If your office has no sign of personalization, it may confuse or send a negative signal to them.Â
Legal and lease termsÂ
When getting a lease from a landowner or sublease from a primary tenant, it’s better to hire an attorney if you don’t understand the legal jargon.
How Does Unique Workspace Help You Find the Perfect Choice?
At Unique Workspace, our expert renting and leasing solution based in NYC has handpicked a listing of small and large offices. We focus on delivering what our clients need—be it a luxury office or a small space for startups. Why trust Unique Workspace for your startup?-
- Time-saving search
- Budget-friendly guidance
- Expert on NYC leasing and rentingÂ
Conclusion
Getting a small office for a new startup in NYC is a daunting task. Getting help from Unique Workspace, based in NYC, will definitely make your life easier. Wanting a heavily amenitized, furnished, and move-in-ready office in NYC? Contact Unique Workspace for a consultation.
FAQ
How much does a small office in NYC cost?
A small office in NYC on average costs $50-$70 per sqft per year for class B/C buildings. For Class A or premium buildings, it can cost more than $100 per sqft per year.
What type of office is best for a startup in NYC?
For seed-level startups with 2-5 headcount, co-working space is ideal in NYC.
