3rd quarter 2005 office statistics
Why do we provide statistics?
Because we believe you will be moved.
"It is the mark of a truly intelligent person to be moved by statistics."
George Bernard Shaw
Post-disaster status of tenants in question
It's bad enough to have your office or retail space flooded or destroyed by a hurricane. But it's
even worse to find out that you are still required to pay rent on property you have no access to. That's the situation many tenants are facing in the wake of Hurricanes Katrina, Rita, and Wilma.
The issues that are still swirling in the storm-ravaged areas include deciding who has the obligation to repair the damage, if the rent is suspended during repairs, when and if the lease can be terminated, the effect of government orders
to evacuate, and whether the premises were destroyed by wind, flooding or human error.
The human error comes into effect concerning the condition of the dikes and levees in New Orleans. The insureds may argue that failure to build adequate dikes caused the damage, while the insurance companies will say it was just a flood
and that most policies don't cover flood damage. In other areas, deciding whether storm surge waters or high winds did the damage will determine if insurance pays for repairs.
As for paying rent on a destroyed building, the laws vary by state, but some tenants may face that predicament. They could even be barred from trying to recover files and property if a building has been condemned. Natural disasters on
this scale will cause many businesses to conduct a through review of plans for offsite document storage and computer backup.
A business should also understand the specific clauses included in its lease to allocate the risks associated with disaster events. Our office would be glad to help review your lease with disaster recovery in mind.
Quicksilver due diligence: Dealing with mercury
By Barbara L. Oslund, P.E.
Environmental assessments are advised when transferring ownership of commercial and industrial properties. Sales and development plans can be indefinitely delayed if solvents, petroleum compounds, and metals were mishandled on the
property in the past. Increasingly one of the metals being found in the plumbing and sewer infrastructure is mercury.
Mercury is found in heavy industry, dental and medical offices, research facilities, and any place that uses mercury-containing devices like thermometers. Just 2 grams of mercury can contaminate 25 million gallons of water, so only a few
broken thermometers can cause contamination. Even if the activity that may have caused the mercury release is long gone, the mercury may still remain in the nooks and crannies of a plumbing system.
Mercury is toxic to humans and aquatic organisms and very small amounts can cause environmental problems. Public sewer utilities increasingly monitor for mercury and put the burden of mercury monitoring and possibly removal on the
customer.
If a property's usage history may have included mercury, assessing its presence in the plumbing system could be prudent. Accumulated mercury-containing sludge can be professionally removed from plumbing and sewer connections. Even if the
local public sewer utility is not currently concerned about mercury, the regulatory climate can change in the future. Assessing the presence of mercury in the plumbing system of a commercial or industrial property can help to avoid
inheriting a future environmental problem.
***
Ms. Oslund is a Senior Environmental Engineer with Solutions Industrial & Environmental Services Inc., Raleigh, N.C.
Make sure new space has the right connections
For tenants of commercial office space, connecting to the new world of telephone and Internet
services should be a vital part of evaluating new space. Because telecommunications has been deregulated, most markets have several companies providing local telephone and data services, especially for businesses. But those choices are
often only available in limited areas.
Don't assume a building is served by the telecom provider you want, make sure it is. Sometimes just moving a few blocks can take you out of range.
If a building you are interested in is in the right service area, but has not been hooked up to your telecom provider of choice, make sure the landlord won't put up any barriers. Most states require landlords to provide access to any
telecommunications company a tenant wants. Yet there can be cases where there is simply not enough space for additional switching equipment to be installed, so have the carrier conduct an inspection.
Other considerations include: keeping your phone numbers; having wiring properly installed; allowing enough time for equipment to arrive and installation to be completed; and making sure your future needs for voice, data, and Internet
bandwidth can be accommodated.
Please contact us if you need assistance identifying an independent expert to evaluate your telecom needs and options.
Rice Village is a Great Home!
We've moved to the heart of the Rice Village!
Why did we leave downtown after 15 years? Because we found a great location!
Our new offices are centrally located in a pedestrian-friendly area with numerous amenities, including tempting cafés and restaurants.
Our new address is:
The Calibre Group, Inc.
2444 Times Boulevard, Suite 310
Houston, TX 77005
Our telephone and fax numbers remain:
T 713 739 7777
F 713 739 7778
Our doors are always open to you, so please drop by and see us!
