How businesses can secure office space in Austin's red-hot startup market
Austin is booming. From gaining more than 50,000 people in one year to being named one of the top 10 hardest working cities in the country, Austin is an undisputed hot spot for entrepreneurs and startups.
But where do all those workers go? Many are starting to turn to TenantBase, the technology-enabled commercial real estate brokerage that makes it easier for small businesses and startups to find, then lease or purchase, their ideal office space.
The online platform makes it easy to search by neighborhood and find potential spaces, and once you sign up, you’ll also be connected with an in-house, local advisor who is dedicated to helping you in your search. And here's the kicker: The service is offered at no cost to the client.
"Many companies that started outside of Texas identify Austin as a great area to continue growing their business," says Robert Garrick, market lead of the Austin office. "The biggest reason is tech-related talent — companies can hire great talent to continue growing their innovative ideas. It also doesn't hurt that Austin has tons of attraction and outdoor activities, and affordability, job prospects, and quality of life are highly desirable."
TenantBase has found that startups looking for office space generally fall into a few categories: budget-conscious companies that need to get their feet under them before they can get into a cool or expensive office space, and venture-backed or growth-stage companies looking for offices that reflect the creative Austin culture, which can help them hire top-notch talent.
East Austin, The Domain, South Austin (in the South Congress/South Lamar neighborhoods), and downtown are the most desired areas for these burgeoning businesses. Coworking spaces — another trend that's a good fit for some companies — such as WeWork, Regus, and many up-and-coming competitors are popping up at a rapid rate to help accommodate the swell of new workers.
Even Apple has taken an unconventional path to securing its own space. The tech giant recently expanded its campus into a previously untouchable piece of land called Robinson Ranch, with the $1 billion investment doubling its Austin footprint.
Whether tenants are looking for traditional offices, creative spaces, warehouses, or retail shops, it's important to keep in mind that rent is already at a premium in Austin.
"This is a landlords' market and they know it," says Derek Savage, regional director at TenantBase. "Rents are continuously going up and vacancies are down. There is so much demand in Austin that finding space can be tough, but that's where we come in."
TenantBase's proprietary software streamlines the office-search process and lease negotiations, meaning you are assured to get the best space and deal for your business, and can then go back to concentrating on your work and clients.